§ 625. Procedure prior to financing of multi-family housing undertaken by housing sponsors

The Agency may not finance any residential housing undertaken by a housing sponsor under subdivision 624(a)(1) of this title unless:

(1) the residential housing is primarily for occupancy by persons and families of low and moderate income, or qualifies for financing with proceeds of federally tax-exempt obligations, or at least 20 percent of the units are for occupancy by persons and families of low and moderate income;

(2) the Agency determines that the acquisition, construction, or rehabilitation costs incurred or to be incurred by the housing sponsor under agreement are for housing development costs within the meaning of this chapter;

(3) the Agency determines that there exists, or without the proposed residential housing there will exist, a shortage of decent, safe, and sanitary housing at rentals or prices that persons and families of low or moderate income are able to afford within the general housing market area or there is a shortage of temporary transitional or emergency housing to be served by the proposed residential housing; and

(4) the Agency determines that the housing sponsor or sponsors undertaking the proposed housing development will maintain or increase the supply of well-planned, well-designed permanent, temporary, transitional, or emergency housing for persons or families of low and moderate income and that the sponsors are financially responsible persons or institutions. (Added 1975, No. 176 (Adj. Sess.), § 6, eff. March 26, 1976; amended 1987, No. 41, § 6; 1989, No. 77, § 5, eff. June 7, 1989; 2005, No. 189 (Adj. Sess.), §§ 7, 8; 2007, No. 176 (Adj. Sess.), § 11, eff. July 1, 2008.)