HMFA encourages the preservation of affordable housing. Developers should, however, bear in mind that a housing proposal must meet HMFA standards for the site, neighborhood location, accessibility of services, marketability, design and construction. The proposal must be financially feasible, and comply with applicable local, state and federal requirements. The primary determinant, with regard to eligibility for HMFA financing, is that the housing have a rental cost which is financially feasible and is consistent with low- or moderate-income needs.
In selecting applications for loans, priority is given to applications for rental housing loans for the construction, improvement or rehabilitation of housing projects which will be a part of or constructed in compliance with the New Jersey State Development and Redevelopment Plan. Copies of the Plan may be obtained at the New Jersey Office of State Planning, Department of Community Affairs, or by calling (609) 292-7156. In addition, consideration is given to:
- the comparative need of the area or residents to be served by the proposed housing project;
- the ability of the applicant to construct, operate, manage, and maintain the proposed housing project;
- the existence of zoning or other regulations to protect adequately the proposed housing project against detrimental future uses which could cause undue depreciation in the value of the project;
- the availability of adequate parks, recreational areas, utilities, schools, transportation, and parking;
- the availability of adequate, accessible places of employment; and
- where applicable, the eligibility of the applicant to make payments to the municipality in which the housing project is located in lieu of local property taxes.
