A 2010 study by Abt Associates found a roughly $26 billion capital needs backlog for public housing nationwide, due largely to that dwindling capital fund appropriation. HUD’s appropriation for 2013 was approximately $1.9 billion and reflects the lowest amount since 1989. Because replacing poor-quality units takes, on average, $135,000 apiece, getting rid of a unit in disrepair often makes better financial sense than ponying up even more to fix it. As a result, between 10,000 and 15,000 public housing units a year are lost across the nation, according to the Council of Large Public Housing Authorities.
Tag Archives: department of housing and urban development
The U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury today released the April edition of the Obama Administration’s Housing Scorecard – a comprehensive report on the nation’s housing market. While house prices remain stable and equity continues to grow, new and existing home sales have slowed. While this scorecard notes positive overall trends in the housing market, officials caution that the harsh winter slowed growth as the economy recovers from the Great Recession. The full Housing Scorecard is available online at http://www.hud.gov/scorecard.
Shaun Donovan took over the Department of Housing and Urban Development (HUD) four years ago during a full-blown housing crisis. Now, he is at work on cleaning up another catastrophe. President Obama, in the days following his re-election, tasked Donovan to lead the Hurricane Sandy rebuilding efforts. Former commissioner of the New York City Department of Housing Preservation & Development, he is a strong choice to oversee the recovery of his home state and the surrounding region. In an interview with Affordable Housing Finance shortly after the election, Donovan discusses his first term as HUD secretary, his future plans, and how the low-income housing tax credit (LIHTC) will fare in tax reform efforts.
Housing and Urban Development Secretary Shaun Donovan will continue in his current role for a second term under President Barack Obama.
Donovan, who was New York City’s housing commissioner before taking the top housing post in 2009, is expected to play a central role in the Obama administration’s efforts to keep the Federal Housing Administration solvent.
During Donovan’s second term, administration officials and lawmakers in Washington are expected to draw up more concrete plans on the government’s future role in the mortgage market, including the fate of housing giants Fannie Mae and Freddie Mac.
NYCHA Chairman John B. Rhea and HPD Commissioner Mathew M. Wambua today announced the selection of a development team for Prospect Plaza in Ocean Hill-Brownsville in Brooklyn. The agencies have selected Blue Sea Development Company, Pennrose Properties, Duvernay + Brooks, and Rosenberg Housing Group (Blue Sea & Partners) to develop the approximately 200,000 square feet, 4.5-acre area for new, affordable and public housing units. It will be constructed in three phases, creating a total of 364 new housing units, including 80 units of NYCHA public housing, and 284 affordable housing apartments. The project will include a space for a new supermarket, community facility space with a rooftop greenhouse, and a new recreation area. The U.S. Department of Housing and Urban Development (HUD) awarded NYCHA a HOPE VI Grant to revitalize Prospect Plaza. The Program emphasizes partnerships with community residents, other agencies, local governments, nonprofit organizations, and private businesses to leverage support and resources. NYCHA will provide $15.5 million in HOPE VI Grant funds for the development of the public housing units at Prospect Plaza.
The Novogradac Journal of Tax Credits on January 10, 2013 honored the winners of its third annual Developments of Distinction at a special awards luncheon held in Miami, Florida. The 2012 Developments of Distinction awards honor outstanding achievement in the development of tax credit housing. The awards recognized low-income housing tax credit projects in four categories: those that had a major impact on their community; those that demonstrated financial innovation; and those that overcame significant obstacles in their development, as well as the tax credit project that made innovative use of HUD financing. Community Impact winner: Greenbridge Commons (Cleveland, OH); Financial Innovation winner: Toussin Senior Apartments (Kentfield, CA); Overcoming Obstacles winner: Faubourg Lafitte (New Orleans, LA); HUD financing winner: Armory Lane Apartments (Vergennes, VT).
To stem the loss of critically needed public and other forms of subsidized housing as a result of the severe backlog of capital needs, HUD Thursday officially launched its Rental Assistance Demonstration (RAD), the Obama Administration’s groundbreaking strategy to preserve tens of thousands of public and HUD-assisted housing units. In the near term, RAD is expected to preserve and enhance more than 13,000 units of affordable housing and generate more than $650 million in private capital to address the estimated $26 billion backlog in capital needs faced by public housing authorities in the U.S. RAD allows public housing agencies and private owners of certain at-risk, federally assisted properties to convert their current assistance to long-term Section 8 contracts. Such contracts will allow owners to leverage millions of dollars in debt and equity to better address immediate capital needs and preserve these affordable housing units. In addition, participating agencies are freed from antiquated public housing rules and restrictions that hindered their ability to best preserve and manage their housing similar to other affordable housing owners and managers.