Florida Administrative Code › 67 - FLORIDA HOUSING FINANCE CORPORATION › 67 - Departmental › Chapter 67-48 - COMPETITIVE AFFORDABLE MULTIFAMILY RENTAL HOUSING PROGRAMS SAIL/HOME/HC › Part III - HOME INVESTMENT PARTNERSHIPS PROGRAM › Section 67-48.020 - Terms and Conditions of Loans for HOME Rental Developments

Current through Reg. 50, No. 138; July 16, 2024
All HOME Rental Development loans shall be in compliance
					 with the Act, 24 CFR Part 92 and, at a minimum, contain the following terms and
					 conditions:
(1) The HOME loan may be
				  in a first, second, or subordinated lien position. The term of the loan shall
				  be for a minimum period of 15 years for Rehabilitation Developments and 20
				  years for new construction Developments. The term of the HOME loan may be
				  extended upon the recommendation of the Credit Underwriter and approval by the
				  Corporation. With regard to said approval, the Corporation shall consider the
				  facts and circumstances, inclusive of the financial feasibility of the
				  Development.
(2) The annual
				  interest rate will be determined by the following:
(a) All for-profit Applicants that own 100
				  percent of the ownership interest in the Development held by the general
				  partner or managing member entity will receive a 1.5 percent per annum interest
				  rate loan.
(b) All qualified
				  non-profit Applicants that own 100 percent of the ownership interest in the
				  Development held by the general partner or managing member entity will receive
				  a 0 percent interest rate loan. For purposes of determining the annual HOME
				  interest rate, the definition of Non-Profit found at Rules
				  67-48.002 and
				  67-48.0075, F.A.C., shall not
				  apply; instead, qualified non-profit Applicants shall be those entities defined
				  in 24 CFR Part 92, Section 42(h)(5)(c), subsection
				  501(c)(3) or
				  501(c)(4) of the
				  IRC and organized under Chapter 617, F.S., if a Florida corporation, or
				  organized under similar state law if organized in a jurisdiction other than
				  Florida.
(c) If the Applicant is a
				  Public Housing Authority, or if the Applicant is an entity created by a Public
				  Housing Authority under Section
				  421.08, F.S., and such Public
				  Housing Authority owns 100 percent of the ownership interest in the Development
				  held by the general partner or managing member of such Applicant entity, the
				  loans funded after February 20, 2011 will receive a 0 percent interest
				  rate.
(d) An Applicant owned in
				  part by a qualified non-profit or a Public Housing Authority, but which does
				  not meet the requirements of paragraph (b) or (c), above, will, for loans
				  funded after February 20, 2011, receive a 0 percent interest rate loan on the
				  portion of the loan amount equal to the qualified non-profit's or Public
				  Housing Authority's ownership interest in the Development held by the general
				  partner or managing member of such Applicant entity. A 1.5 percent interest
				  rate shall be charged on the balance of the loan amount. The interest rate
				  charged on the total loan amount shall be determined by blending the rates
				  proportionately. After closing, should the Applicant sell any portion of the
				  Development ownership, the loan interest rate ratio will be adjusted to conform
				  to the new percentage of ownership.
(e) Notwithstanding the provisions of
				  paragraphs (a) through (d), above, the annual interest rate for those HOME
				  loans closed after February 20, 2011 where the HOME Developments are at least
				  partially financed with a MMRB Loan (as defined in rule Chapter 67-21, F.A.C.)
				  shall be as specified in an applicable competitive
				  solicitation.