The New Partners Program provides loans to owners to renovate small buildings where a portion of the building is vacant, and units are in need of rehabilitation. The Program is especially focused on buildings with existing commercial tenantsand vacant residential space above.

Program Advantages:

• Below market interest rates
• Loan term of up to 30 years
• Loan program allows owners to add to the building's value
• Assistance in selecting and securing contractors and working with tenants
• Free classes available in all areas of property management

Eligible Applicants:

• For Profit and Not-for-profit owners
• Principals must have acceptable credit (no pending collection actions, foreclosures, etc.)

• Owner occupied buildings with 1-4 units
• Buildings with existing commercial tenants and 1-20 vacant residential units, including "taxpayer" buildings
• Projects must be located in the Bronx, Brooklyn, Manhattan (north of East 96th Street and north of West 110th Street), Queens, or Staten Island
• All taxes must be current at the time of closing

• Moderate or Gut Rehabilitation
• Renovation costs in excess of $15,000 per unit
• All necessary work to bring a building up to housing and building codes

• In collaboration with the Program, nonprofit organizations will outreach to owners, and may assist in the development of rehabilitation plans and/or lease/manage residential units.
  

• Borrowers must demonstrate that a New Partners loan is necessary because private market financing is not available for the proposed rehabilitation project or is not sufficient to complete the necessary scope of rehabilitation work
• Borrowers must agree to lease the rehabilitated units as affordable housing for tenants with incomes below 120% of Area Median Income and to maintain buildings with 3 or more residential units as rent stabilized units
• For profit owners must contribute 10% of the project cost in equity
• Not for profit owners must contribute 2% of the project cost in equity

PHONE NUMBER: (212) 863-6417

Download application for New Partners Program (in PDF)

Click here to learn about other building rehabilitation loans