NYHomes (HFA/SONYMA) -
501(c)(3) Bond Financing Program

Purpose

The 501(c)(3) Bond Financing Program offers financing to not-for-profit organizations for the creation and rehabilitation of affordable housing.
 
Provided that the 501(c)(3) organization satisfies its exempt purpose as described in its determination letter from the IRS, there are generally no income restrictions for occupancy of a project financed under this program. However, all financings must further the Agency’s public purpose, which is to maximize the benefits to low, moderate and middle income persons. 
 
Subsidy financing, which may take the form of a subordinate loan or grant, may be available from federal, state and local sources including the HFA’s Empire Housing Fund Program.  
 
All bond financed mortgages, including those funded under this program, must be credit enhanced.  Low Income Housing Tax Credits are not available under this program.

Eligibility

Eligible projects include those acquired from a not-for-profit owner or those acquired from another not-for-profit organization. Projects currently owned by a 501(c)(3) organization and financed by an entity other than HFA may be eligible for financing- essentially a refinancing- provided the transaction includes a rehabilitation component.
 
Applications for financing under this program are accepted on a continuous basis. 

Contact

NYS Housing Finance Agency
641 Lexington Avenue, 4th Floor
New York, NY 10022
(212) 688-4000

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