By Michael D. Lappin
February 4, 2021
Today’s historically low interest rates create an extraordinary opportunity to repair and stabilize vulnerable affordable housing. A new program, let’s call it Rehab Plus (RP), patterned after successful preservation efforts of a generation ago, can shore up low and moderate income housing, create thousands of jobs, and provide a needed stimulus to help restore the City’s economy. For residents it means safe and secure housing for years to come.
Rehab Plus would provide monies for essential repairs by combining today’s low cost private financing (long-term rates are in the mid-3% range), with a modest amount of 1% publicly subsidized subordinate loans and real estate tax relief. City or State mortgage insurance is available for eligible mortgage loans. The program would be targeted to apartment buildings where average rents are affordable to lower income and working families of the City. In order to reach as many buildings as possible, the program’s processing would be streamlined to make it easily accessible to small building owners.
Continue reading A Public-Private Stimulus Program for the City to Preserve Affordable Housing Creating Thousands of Jobs and Building a Bridge to The City’s Recovery. A Program for This Mayor and the Next.