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Posts Tagged ‘affordable rental housing’

FHFA Stretches Multifamily Affordable Housing Lending Categories

May 15th, 2015 Comments off

housing market  costar  credit    5 2015Both of the government-sponsored enterprises (GSEs), Fannie Mae and Freddie Mac, operate under a $30 billion cap for purchases of multifamily loans, according to costar. Since they each hit $10 billion in the first quarter, they would max out by the third quarter, leaving no available funds to finance deals in the latter half of the year.

Fortunately, the Federal Housing Finance Agency (FHFA), while not raising those caps, adjusted the affordable housing lending exclusions so that multifamily loan amounts purchased by the GSEs will cover the percentage of units in a property that are considered affordable to renters at 60 percent of the area median income.

In addition to continue excluding manufactured housing rental communities from the caps, as MHProNews reported April 21, 2015, the FHFA also excluded assisted living units for seniors providing they are affordable at 80 percent of the area’s median income. In very higher cost areas, the threshold will be raised to 80 percent of the area’s median income, and even to 100 percent in areas where renters spend a higher percentage of their income on rent.

FHFA Director Melvin L. Watt says, “By responding to continued strong growth in the overall multifamily finance market and making these adjustments, we have sought to achieve two objectives – facilitating ongoing liquidity in the multifamily market and further encouraging the enterprises’ involvement in affordable rental housing.

Additionally, exclusions from the previous caps only covered government subsidized rental units, but under the revisions, some conventional market-rate units may also be considered “affordable.” ##

(Image credit: costar)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

If Ratner Quells Labor, Finds Financing, Modular Housing will Rise

November 18th, 2011 Comments off

Curbed reports from Brooklyn’s Atlantic Yards that Forest City Ratner is finalizing plans to build the world’s largest modular housing unit, divided between affordable rental housing and market rate rentals. The 32-story tower, the first of three residential edifices built in this development that will include a professional basketball arena and retail, will be comprised of 930 steel modules supported by steel braced frames. The 350 housing units will include 130 studio apartments, 180 one-bedrooms, and 40 two-bedroom units. A year-long study determined modular construction will cost 15-20 percent less than traditional building, waste will be reduced by 70-90 percent, energy consumption will be reduced up to 67 percent, and the project will weigh half as much. Addressing concerns from the (strong) NYC labor unions, Ratner says 190 workers, on-site and in-factory, will be needed to complete the building, far fewer than the 17,000 number of workers once bandied about. Needing 70,000-100,000 square feet to build the modules, Ratner is eyeing sites in Brooklyn and Queens. Providing all the other pieces fall into place, construction should start in early 2012 and be completed in 18 months.

(Graphic credit: Forest City Ratner/SHoP Architects)