California Housing Accelerator enables shovel-ready affordable housing projects that, despite having received one or more awards from other HCD programs, are unable to move forward due to funding gaps that resulted from their inability to access tax-exempt bond allocations or low-income housing tax credits. The intent of this program is to reduce the backlog of projects “stuck” in the funding pipeline to accelerate the development of housing for those most in need.
The 2021-22 state budget appropriated $1.75 billion from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) to fund the Accelerator program.
Project Solicitation
| Document Name | |
|---|---|
| Limited Gap Funding Solicitation | Download |
| Amended Solicitation and Program Guidelines | Download |
| Application for Limited Gap Funding Solicitation | Download |
| Application | Download |
| Exhibit A | Download |
| Exhibit B | Download |
| Exhibit D | Download |
| Exhibit E | Download |
| Payee Data Record | Download |
| Tin Form | Download |
| Applications Received with Self-Scores | Download |
Program Overview
Project sponsors who have been awarded HCD funding for an affordable housing project but were unable to secure tax credits. Assistance will be provided in prioritized tiers. The first tier will prioritize HCD-funded projects which have previously applied to CDLAC for bonds and 4% tax credits. The second tier will be open to projects with a previous HCD award which listed tax-exempt bonds and 4% low-income tax credits as development sources in their HCD application but have not received allocations of these resources.
Eligible projects must demonstrate the following:
- An award, issued on or after January 1, 2018, from at least one of the specified HCD multifamily housing programs.
- Evidence that, with an Accelerator award, the project will have complete financing and all entitlement approvals necessary to start construction within 180 days of award.
Assistance for eligible projects will be provided in the form of a forgivable loan, with terms of zero percent interest for 20 years with no residual receipts or periodic payment requirements during the life of the California Housing Accelerator loan, and will be used to fill the permanent financing gap that remains due to the project's inability to obtain tax credits/bonds in a more competitive 4% tax credit setting.
Timeline
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April 8, 2022
Tier 2 Applications Due
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June 30, 2022
Award Announcements
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June 30, 2024
Funds through executed Standard Agreement
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November 30, 2026
Permanent Loan Conversion