Affordable Rental Housing Guidelines – 2008
REQUEST FOR PROPOSALS
Affordable Rental Housing Guidelines
The City of Houston (City) invites Requests for Proposals to assist a City of Houston 2008 Tax
Credit Project that has been awarded a Low-Income Housing Tax Credit commitment from the
Texas Department of Housing and Community Affairs.
The City will offer subsidies through a performance-based loan per the Applicable Federal Rate
with a 20-year term for new construction or a 15-year term for rehabilitation. City loans will be
forgiven at the end of the applicable 20-year or 15-year term so long as the Borrower complies
with the terms and conditions of the City loan agreement, and the property is in compliance with
all HUD and City requirements. Each funding source is subject to specific regulatory restrictions,
and Applicants should assume HOME restrictions will apply when planning their projects.
IMPORTANT NOTE: APPLICANT IS ADVISED TO CHECK PROPERTY ADDRESS AGAINST
THE MOST RECENT FLOOD MAPS WHICH CAN BE SEARCHED BY ADDRESS AT THE
FOLLOWING WEB SITE: WWW.TSARP.ORG. HCDD IS UNABLE TO FUND PROJECTS IN
THE 100-YEAR FLOOD PLAIN.
Requirements for the properties selected for City investment include at a minimum:
1. Applicant must comply with all pertinent federal regulations.
2. No part of the improvements on the property may be located within the 100-year flood
plain as identified on the most current Federal Emergency Management Agency Flood
3. The Applicant’s guarantors will be personally liable for the City loan through completion
of the project. Upon project completion, per HUD requirements, personal liability of the
guarantors will be released except for losses due to fraud, theft, failure to pay taxes,
failure to maintain insurance and similar acts or omissions (“bad acts exceptions”). The
property will remain subject to the lien in favor of the City. The Applicant will remain
liable for the loan.
4. Either payment and performance bonds, or a satisfactory