|Program (?)||Participation Loan Program - Preservation|
The Participation Loan Program (PLP) provides low-interest loans to private residential building owners for the moderate-to-gut rehabilitation of housing for low- to- moderate-income households. New York City capital funds and/or federal HOME Grant funds are loaned at one percent interest and combined with bank financing in order to produce a below-market interest rate loan. Funds may also be used for refinancing or acquisition in conjunction with rehabilitation. In the early 1970s, PLP was used by borrowers from the Community Preservation Corporation, a non-profit leader focusing on restoring neighborhoods affected by abandonment and disinvestment in New York City.
PLP loans range from up to $55,000 (for units benefitting households earning less than 70 percent of AMI) to $100,000 (for units benefitting households earning less than 50 percent of AMI). After rehabilitation, real property taxes may be eligible for abatement through the J-51 Program for buildings of three units or more. All apartments are placed in New York State’s Rent Stabilization System. For occupied units, rents will be projected to increase by eight to 10 percent over two years; for vacant units, rents are set at market rate.
|Benefit Classification (?)|
|Supply or Demand||Supply|
|One-Time or Ongoing||One-Time|
|Benefit Type (?)||Financing|
|Government Agency (?)||NYC Dept of Housing Preservation and Development|
|Program Information (?)|
|Scale||Very Large Scale (over 10,000 units produced)|
|Developer/Owners (?)||For-Profit, Non-Profit|
|Property Information (?)|
|Occupant Tenure (?)||Rental|
|Occupant Income Restrictions (?)||Low-Income, Moderate-Income|
|More Information||The Community Preservation Corporation|
|Available on CoreData.nyc?||No|