Dept. of Housing and Community Development - California Housing Accelerator Tier 2. Deadline: 4/8/22
California Housing Accelerator Tier 2
The California Department of Housing and Community Development (Department or HCD) is announcing the availability of approximately $800 million in California Housing Accelerator Tier 2 funding for the purposes of supporting shovel-ready projects that, despite having an Existing HCD Loan Commitment from one or more HCD loan programs, are unable to move forward due to funding gaps that resulted from the current shortage of tax-exempt bond allocations and low-income housing tax credits.
Project sponsors who have been awarded HCD funding for an affordable housing project but were unable to secure tax credits. Assistance will be provided in prioritized tiers. The first tier will prioritize HCD-funded projects which have previously applied to CDLAC for bonds and 4% tax credits. The second tier will be open to projects with a previous HCD award which listed tax-exempt bonds and 4% low-income tax credits as development sources in their HCD application but have not received allocations of these resources.
Total Amount Available:
Applications are being accepted beginning March 8th, 2022 and ending April 8th, 2022.
Additional Application Information:
Per HSC section 50672.2, subdivision (d)(1), the Department has established an application fee of $40,000 per California Housing Accelerator application. This refundable fee aims to discourage project application submissions for projects that are not shovel-ready. This fee will be fully refunded if:
• the project is awarded California Housing Accelerator funds under this Project Solicitation and the project meets the California Housing Accelerator’s 180- day deadline for commencement of construction, or
• the California Housing Accelerator application is withdrawn prior to award due to the receipt of gap funding to fully fund the project (e.g. bonds, tax credits, local funding, etc.), or
• the application successfully passed threshold, as determined by the Department in its sole and absolute discretion, but was ultimately not successful in securing a California Housing Accelerator award.
Since the California Housing Accelerator application fee is "refundable," it should not be included in the development budget.
Grant Management Associates has years of experience with opportunities like this one. Contact us today for a consultation.