FOR IMMEDIATE RELEASE
June 18, 1999
HPD ANNOUNCES NEW LOAN PROGRAM FOR APARTMENT BUILDING REPAIRS
1% interest rate available for loans to remove hazardous conditions, repair violations, and/or replace one operating system
Owners of apartment buildings occupied by low-income tenants can apply for low-interest loans to make repairs. Loans are available for owners to remove hazardous conditions, cure violations, and/or to replace one operating system. Prime examples are the correction of violations dealing with or the replacement of plumbing, burner/boiler, electrical, roof, elevator, compactor, intercom, windows, entrance doors, waterproofing, and otherwise correcting substandard and unsanitary conditions.
The program is designed to make repairs and infrastructure investments affordable to owners and their residents.
HPD's Code Compliance Loan Program is part of HPD's "PRO Housing" initiative to preserve affordable housing by encouraging preventative maintenance and investment in building improvements.
"This is part of HPD's effort to empower responsible ownership. HPD's `PRO Housing' initiative encourages owners to provide services, correct code violations and make needed building repairs," said HPD Commissioner Richard T. Roberts.
This program joins a portfolio of six other HPD loan programs to encourage owners to invest in their buildings. This one fills the gap at the "quick and
easy" side of the spectrum and is available in amounts up to $7,500 per unit. HPD's loan program offers simplified loan processing with no fees, fast track loan closing, and a one percent interest rate. Each loan is secured by the mortgage on the property. Applicants must demonstrate that they cannot borrow funds privately.
Building owners should call (212) 863-6412 for information about the Code Compliance Loan Program or any other HPD loan program. Other conditions apply.
HPD is the nation's largest municipal housing preservation and development agency. A major responsibility of the agency is to encourage preservation of affordable housing through education, outreach, loan programs, and enforcement of housing quality standards.