Small Housing Provider Grant Program (SHPG) 

The Small Housing Provider Grant (SHPG) provides grants to eligible property owners of multifamily buildings of two (2) to fifty (50) units for moderate renovations, repairs, and the elimination of hazardous and unsafe living conditions. The grant would allow $65,000 per unit and a maximum of $350,000 per project. The income level of property owners may not exceed 150% of Median Family Income (MFI). A grant agreement and a minimum 5-year covenant must be signed by the property owner. 

PROGRAM ELIGIBILITY: 

Applicants that meet the following criteria are eligible: 

• Individual or related family owners (whether as individuals or through closely held legal entities) of up to 3 rental housing properties whose income does not exceed 150% of Median Family Income (MFI), according to DHCD’s income schedule; or 
• The Board of a Limited Equity Cooperative. 
• Nonprofits, particularly those that own residential property but are primarily service organizations that show a need that cannot be met by other District sources or reasonable private lending. 

Housing accommodations that meet the following criteria are eligible: 

• Non-owner-occupied with between 2 and 50 housing units, 
• At least 50 percent of housing units must currently be affordable to low- to moderate- income households who earn at or below 80 percent of MFI, and 
• Housing accommodation has health hazards or unsafe living conditions that need to be addressed to improve the quality of life of residents that does not exceed $65,000 per unit or $350,000 per project.

PROGRAM REQUIREMENTS 

All applicants will be required to complete the following program requirements in order to be considered eligible to apply and be awarded funds. 

Completed Application – Applicants will need to complete all components of the application prior to submission. This includes all the required documentation listed in the application. 

1. Completed Application – Applicants will need to complete all components of the application prior to submission. This includes all the required documentation listed in the application.
2. Building Needs Assessment – Applicants that are deemed eligible for the program will be required to obtain a property assessment from a DHCD approved scope writer in order to complete the scope of work of the repairs requested for the property. 
3. Attendance in DHCD Property Management Course - Prior to remedying the requested repairs, all applicants will be required to attend a DHCD Property Management Course. LEC board members will all be required to attend the training prior to construction. 
4. Grant Agreement – A regulatory grant agreement must be signed by the property owner prior to the start of construction. 
5. 5-Year Affordability Covenant -- Repairs on the properties in units that are paid through this program are subject to a five-year minimum affordability covenant that restricts the maximum allowable rent (varying by unit size and income level served) and establishes maximum income eligibility limits (varying by household size and income level served). 
6. Approval by all Lenders – Lenders with liens on the property must provide consent for DHCD to place a 5-year affordability covenant on the property. 
7. Completion of Construction – DHCD will solicit bids from contractors to complete the construction work related to the scope of work. Please note that grant funds will be paid directly to the contractor. 
8. Relocation Plan & Meeting – For projects that require the temporary relocation of tenants, the applicant must submit a Relocation Plan that complies with D.C. Official Code §42-3505.01(f). Applicants will need to meet with DHCD Housing Preservation Unit staff prior to the start of construction to discuss the plan and its execution. If Program repairs will occur while tenants are living in a unit undergoing repairs, the applicant must submit a Tenant-in-Place Renovation Strategy describing how tenants will be protected and accommodated during construction. 
9. Program Compliance - During the affordability period, building owners will be required to submit tenant income certifications on an annual basis to DHCD and will be subject to property inspections. 
10. Grant Repayment - Affordability restrictions are not released if the grant is repaid, or the property is sold. Repayment of funds will be required for property owners that do not maintain the required affordability and or incur additional health hazards during the affordability period.

APPLICATION STEPS 

Email [email protected] to start the application process, stating your interest in the program.