99-346 C.M.R. ch. 27, § 4 - Criteria for Consent to an Application for Transfer

In determining whether or not to consent to a request for a Transfer, MaineHousing will be guided by the following, to the extent applicable to a specific Transfer as determined by MaineHousing:

A. whether consenting to the request is consistent with the objectives and eligibility requirements of the applicable multifamily or supportive housing loan program under which the Project was funded or allocated tax credits;

B. whether, in MaineHousing's judgment, a more efficient use of public resources will result by consenting to rather than denying the Application;

C. the creditworthiness of any proposed new Owner;

D. the management experience of any proposed new Owner;

E. regulatory findings and other determinations, including but not limited to debarment or other ineligibility, by MaineHousing, HUD or any other federal, state or local government agency;

F. the Application, including any additional information required by MaineHousing;

G. whether the person or entity to whom the Transfer will be made, or any Affiliate thereof, has sought to achieve early termination of an extended low-income housing commitment, as defined in Section 42(h)(6)(B) of the Code, through a written request to a housing credit agency to present a qualified contract, as defined in Section 42(h)(6)(F) of the Code, or otherwise;

H. whether the person or entity to whom the Transfer will be made, or any Affiliate thereof, has sought to undermine the exercise of a right of first refusal or purchase option with respect to any Tax Credit Project by refusing to honor a right of first refusal or purchase option, by involvement in a lawsuit challenging the exercise of a right of first refusal or purchase option, or otherwise;

I. whether the Transfer will result in a loss of affordability or adversely affect the financial stability of the Project as determined by MaineHousing;

J. whether the Transfer will adversely affect satisfaction of all applicable regulatory and contractual obligations;

K. whether the Transfer will reduce the likelihood the Project will continue to serve the lowest income tenants for the longest period of time;

L. whether the new Owner was responsible for (1) the physical or financial condition of another project not being maintained in a satisfactory manner, (2) the capital needs of another project not being met, or (3) another project not complying with applicable regulatory or contractual obligations, with the term "responsible for" meaning causing or not making a good faith event to prevent such events;

M. the existence of any Additional Circumstances; and

N. any additional information available to MaineHousing from any source, including third parties.

Notes

99-346 C.M.R. ch. 27, § 4