Developers

*Update: Effective August 2, 2021 the AALF Program is temporarily not accepting applications from Sponsors with existing approved and undelivered projects.

Multifamily Mortgage Revenue Bond Program (MMRB)

The Multifamily Mortgage Revenue Bond Program (MMRB) is used to facilitate affordable multifamily rental housing projects. DCHFA has an updated process for tax exempt bond allocation, which is detailed in the following documents:

The July Readiness Round timeline is as follows:

July 7 at Midnight- Application Submission Due Date
July 8 to July 28 -Staff Review of Initial Submission
July 28 to August 4 at Midnight- Cure Period for Errors and Omissions
August 5 to August 18- Staff Review of Second Submission
August 18 – Notification to Proceed to Further Underwriting or Notification of Deferral to a Later Round

Town Hall on Tax-Exempt Bond Issuance in the District 4.27.2023

Town Hall on Tax-Exempt Bond Issuance in the District 11.15.22.

Download the presentation here

Eligibility & Requirements

Program Eligibility

Nonprofit, for-profit and 501(c)(3) developers can access tax-exempt, taxable and 501(c)(3) bonds for the following eligible uses:

Acquisition, construction, and permanent loans
Fixed and variable rate loans
Rated and un-rated tax-exempt and taxable bond financing
Credit enhanced or un-enhanced financing, including financing under FHA Multifamily Insurance Programs, DCHFA-HUD Risk Sharing Program, Fannie Mae, Freddie Mac, DUS lending and Letter of Credit

Property Eligibility

The DCHFA’s financing can be used to rehabilitate or construct:

Rental housing (affordable, mixed-income, market rate)
Cooperatives (Limited Equity)
Elderly housing
Assisted-living facilities*
Transitional housing

Program Requirements

Federal regulations require that developers/sponsors who utilize MMRB financing which is funded through the sale of tax-exempt private activity bonds do one of the following:

Set aside at least 20% of their units for individuals or families earning at or below 50% of the area median income (AMI)
Set aside at least 40% of their units for individuals or families earning at or below 60% of AMI adjusted for family size

Apply for the MMRB

If you’d like to apply for the MMRB, please review the program guidelines and fill out the application.

Application

Underwriting Guidelines

Low Income Housing Tax Credit Program (LIHTC)

If a project is approved for multifamily mortgage revenue bond financing through the sale of tax-exempt private activity bonds, then it is eligible to receive 4% Low Income Housing Tax Credits (LIHTC).

The 4% Low Income Housing Tax Credit Program (LIHTC) is a companion financing tool to the Mortgage Revenue Bond Program (MMRB). It finances these MMRBs through the sale of tax-exempt private activity bonds.

LIHTCs can be syndicated to generate part of the required equity a borrower must contribute to the financing, or can be utilized to offset the borrower’s tax payments.