Participation Loan Programs

HPD’s Participation Loan Programs encompass Participation Loan Program (PLP), Third Party Transfer (TPT) Program and Multifamily Preservation Loan Program (MPLP).

PLP provides low-interest loans and tax exemptions to rehabilitate privately owned housing for low- to moderate-income households. HPD’s City Capital is gap financing lent in addition to construction and permanent financing sources provided by, but not limited to private institutional lenders, HPD and NYS Federal Low Income Housing Tax Credit Program (LIHTC), New York City Housing Development Corporation (HDC) programs and New York State programs

TPT and MPLP designate qualified sponsors to purchase and rehabilitate certain vacant and occupied multi-family properties in order to improve and preserve housing affordability to low- to moderate-income households. All TPT properties are currently owned by Neighborhood Restore HDFC and MPLP properties are currently owned by the City of New York.  All properties were subject to an in rem foreclosure.

Eligible Buildings

Multiple dwellings of three or more units (including Single Room Occupancy- SROs) that can leverage conventional debt, including:

• Multi-Family Rentals
• Mitchell-Lama Developments
• Housing Development Fund Corporation (HDFC) Rentals
• Housing Development Fund Corporation (HDFC) Cooperatives

Program Overview

The program assesses the needs of each project and develops a long-term preservation strategy to address the projects’ financial and physical needs.  HPD assistance may include residential real estate tax exemptions, below-market loans, and/or extensions or modifications of existing HPD mortgages to induce conventional financing for preservation efforts and ensure long term financial stability.

Resources

• Participation Loan Programs Term Sheet
• Integrated Physical Needs Assessment (IPNA)

How to Apply

Please complete an Expression of Interest Form to indicate your interest in this program. As we review submissions, we will follow up if we have any questions or need clarification. For more information on program options and requirements, please consult the Preservation Finance page.