HDF offers a wide variety of financing products to promote and facilitate the rehabilitation, new construction, and preservation of affordable housing for low- and moderate-income households, including multifamily housing, seniors housing, and special needs housing. HDF is one of the only local sources of long-term, below market financing for affordable housing in our service area. Please also review our Underwriting Guidelines, which outlines the costs, benchmarks, and required reports necessary for each lending product.

Permanent Financing
HDF is one of the only funds in our service area to provide 30-Year Fixed Rate financing at competitive market rates to affordable housing developers and owners. We also offer the refinancing of existing loans.

Pre-development Financing 
HDF offers predevelopment loans at nominal interest rates to affordable housing owners and developers. Predevelopment loans are usually the first dollars into a project, and often the most difficult type of financing to access because they cover expenses accrued even before construction begins. Such soft costs include: land or building acquisition, site stabilization, interim maintenance, environmental surveys, appraisals, taxes, insurance coverage, as well as legal, architectural and consultant fees. Preference is given to projects also submitted to HDF for permanent financing.

Bridge Financing 
HDF can provide short-term acquisition loans when other sources of financing have been identified to make it easier for developers, particularly non-profits, to make projects work. In addition to acquisition, this type of financing can be for other activities necessary to take title to the property.

Acquisition/Rehabilitation Financing 
HDF provides short-term acquisition loans with a rehabilitation component to affordable housing owners and developers.

Construction Financing 
HDF provides construction loans to build from the ground up or to provide major rehabilitation to an affordable housing development.

Your Project must be located in one of our service area cities or towns.

HDF provides commercial loans to affordable housing owners/developers purchasing multifamily properties (2 or more units, non-owner-occupied) in our Service Area. For a map and list of towns visit our Service Area.

All of the units must be affordable to income eligible families depending on the location of the development.

If the development is located in a Low- or Moderate-Income Census Tract (LMI Tract) as defined by the Federal Financial Institutions Examination Council (FFIEC), 30% of the development must be made available to families earning less than the Metropolitan District (MD) Median Income. For a map, list of towns and income limits visit our Service Area.

You can find out if your property is in an LMI Tract by clicking on the following website:http://www.ffiec.gov/geocode/default.htm. Type in the address and hit the “Search” button. On the next page, click “Get Census Demographic”. If the Tract Income Level box says either Low or Moderate, your property is in an LMI Tract.

If your development IS NOT in an LMI Tract, 100% of the development must be to families earning less than the Metropolitan District (MD) Median Income.

Housing costs charged on a per household basis must not be greater than 35% of household income (including utilities) or 30% of household income (excluding utilities).

Housing costs for rental housing is the monthly rental charge. Housing costs for for-sale housing include taxes, insurance, and common area maintenance. Based on the current Metropolitan District (MD) Median Income, housing costs cannot exceed $2,280. For rental developments, if the tenant is a non-Section 8 tenant, tenant income and housing costs will be verified on an annual basis.

You must be willing to evoke an affordable deed restriction on your Project.

In an effort to maintain affordability in the Service Area, HDF requires our lenders to evoke an affordable deed restriction for the length of HDF’s loan term, regardless of any early repayment of the loan.

HDF has relationships with various banks for both our multifamily loan fund and our various downpayment assistance products. Our banking partners are listed below:

• Bank of America
• Citibank, N.A.
• Commerce Bank
• Connecticut Community Bank
• Fairfield County Bank Corp.
• Fieldpoint Private Bank and Trust
• First County Bank
• Hudson City Savings Bank
• JP Morgan Chase
• Newtown Savings Bank
• Patriot National Bank
• People’s United Bank
• Pitney Bowes, Inc
• Savings Bank of Danbury
• TD Banknorth
• Union Savings Bank
• U.S. Trust Company, N.A.
• Wachovia Bank, N.A.
• Webster Bank

HDF has provided multifamily financing to a variety of for-profit and not-for profit organizations over the years. The list below outlines some of the various loans HDF has made over the years to a diverse population of borrowers.

• New Neighborhoods, Inc. 
  NNI is a Community Development Corporation founded in 1967 with the mission of providing affordable housing as well as to promote neighborhood revitalization in the City of Stamford. Since it’s founding, NNI has developed over 315 units of rental and owner-occupied affordable housing. HDF has worked with NNI on a variety of projects that have included acquisition financing, predevelopment financing, and permanent financing.
• Mutual Housing of Southwestern Connecticut 
  MHA is a nonprofit housing development corporation founded in 1990 by a resident led public/private partnership of lenders, national housing organizations, area corporations, foundations, and government agencies for the purpose of developing and managing safe, quality, permanent affordable housing for low- and moderate-income individuals in Fairfield County. Since inception, MHA has developed 208 affordable housing units and currently has over 180 units under development, representing $40 million in community investment. HDF has provided bridge financing to Mutual Housing.
• Human Services Council
  HSC is a non-profit community-planning agency located in Norwalk, CT whose mission is to help the community recognize its human needs and to initiate programs to meet those needs. HDF has provided predevelopment financing to their organization for a major rental/homeownership development with a supportive housing component in Norwalk, CT.
• Raymond Brown Associates 
  Raymond Brown is a for-profit developer of affordable housing that HDF has provided rehabilitation and permanent financing to. Knight & Grabowski Development Company K&G is a for-profit developer of affordable housing that HDF has provided rehabilitation and permanent financing to.
• Norwalk Emergency Shelter 
  The only emergency shelter in Norwalk, the facility has 95 beds and has been at full capacity or beyond since summer 2001. The Shelter has started a Transitional and Permanent Housing Program, and HDF is helping them purchase single and multifamily homes in the vicinity in order to provide housing under these programs.
• Alderhouse Residential Communities 
  Alderhouse is a non-profit organization formed in 1994 to address the growing demand for decent, affordable housing in Connecticut. HDF is providing them with predevelopment financing for a major affordable housing development with a supportive housing component.
• CTE, Inc. 
  CTE is a non-profit organization that helps to counter basic causes of poverty in the Stamford, Darien and Greenwich communities by making available services and activities which help reduce the physical, economic and psychological barriers to self-sufficiency for low income individuals, families and communities, giving them the ability to rise out of poverty. HDF has provided permanent financing to CTE for the purchase of rehabilitation centers in Stamford.