Property Development Overview
The Project Based Voucher Development Fund is administered by Metropolitan Baltimore Quadel (MBQ) as a part of the Special Mobility Housing Choice Voucher Program (“the Program”). A goal of the Program is to increase the supply of affordable rental housing opportunities in non-impacted neighborhoods throughout the Metropolitan Baltimore region. Eligible properties are to be located in high opportunity/non-impacted census tracts in Anne Arundel, Baltimore, Carroll, Harford, Howard, and Queen Anne’s Counties and Baltimore City. The Program will provide an average of up to $85,000 per unit for acquisition, rehabilitation and/or new construction.
Units subsidized by the Program must serve low-income households referred from Metropolitan Baltimore Quadel’s (MBQ) waiting list of families who have completed MBQ’s comprehensive housing counseling program. Program funds can be used to cover acquisition costs associated in the following property types:
- Existing multifamily properties
- Existing single family and row/town homes
- New construction of multifamily properties
- New Construction of scattered site homes, including single family homes, duplexes, row homes, etc.
MBQ establishes payment standards for the Program. The payment standards for the Baltimore/Towson MSA are:
The payment standards for Columbia are:
- 15 year Housing Assistance Payments (HAP) Contract with renewal options of no less than 5 years (up to the maximum allowed by law)
- 0% interest rate
- Deferred repayment as long as the unit remains in the program
- Funding is transferrable to an approved owner who agrees to maintain the property in the program
- Owner must select tenants from MBQ waiting list
- Units must meet Housing Quality Standard guidelines. All funds are repayable upon early termination or on-compliance of the HAP Contract and/or at the time the unit is no longer available for Special Mobility Housing Choice Voucher Program participants
- A full-recourse agreement executed between MBQ and awarded developer/ property owner with a fixed default penalty rate of 10%.
- Guaranteed Rent Payments: The owner is guaranteed the government’s share of rent payments under the Section 8 program.
- Vacancy Loss Coverage: Owners are entitled to up to 60 days vacancy loss coverage for a turnover, when units were leased up and become vacant.
- A Tenant Pool of Motivated and Prepared Applicants: Applicants for the Special Mobility Program are seeking a better life, not just a place to live. MBQ has established a family readiness program to help families achieve that goal. MBQ assigns each family a case manager who works with the family to prepare them for the move. MBQ will provide landlords with referrals of eligible Special Mobility Program participants who have completed the MBQ family readiness program. The landlord must select residents from among the applicants referred by MBQ.
- Post Occupancy Support: MBQ’s case managers will provide ongoing support to both the family and the landlord for two years after the initial move-in. If issues develop that affect a family’s ability to be successful in their new community, MBQ staff is available and can assist the family and landlords in resolving these issues.
To discuss potential development opportunity, please contact: