Sec. 05.05.05.09. Special Projects—Assistance to Private Sector Entities for Sale to Local Governments

A. Capital assistance may be provided to private sector entities to construct, acquire, reconstruct, or rehabilitate projects that are, upon completion, to be sold to a local government or local government entity, if, upon completion of the project, the private sector entity is required to:

(1) Transfer legal title to the local government or local government entity without additional capital assistance from the Department; and

(2) Unless the local government has contributed the land, pay an amount not to exceed the cost of the land and any off-site improvements paid for by the private sector entity.

B. If the capital assistance is for partnership units that are part of a larger rental housing project or homeownership development project, the minimum number of units in the project that are required to be sold to the local government shall be determined by the formula specified in Regulation .08D(4) of this chapter.