RALEIGH – Starting June 1, Renew NC is offering a prescreening opportunity to help potential applicants prepare for the upcoming launch of the Multi-Family Construction and Repair (MCR) Program for non-LIHTC projects.
While prescreening is not required to submit a program application, it is strongly encouraged. Prescreening provides an initial review to help determine whether proposed Community Development Block Grant Disaster Recovery (CDBG-DR) projects align with federal requirements, meet a national objective, and demonstrate financial feasibility.
This program is funded through a CDBG-DR grant from the U.S. Department of Housing and Urban Development (HUD). Of the $1.4 billion in CDBG-DR funding allocated to North Carolina for western North Carolina recovery, $133.94 million is allocated for the MCR Program for multi-family projects with 5 or more units, with approximately $70 million available for non-LIHTC projects.
Projects submitted for the program must be located in HUD- or State-identified most impacted and distressed (MID) areas, which include 28 counties and one ZIP code: Alexander, Alleghany, Ashe, Avery, Buncombe, Burke, Caldwell, Catawba, Clay, Cleveland, Gaston, Haywood, Henderson, Jackson, Lincoln, Macon, Madison, McDowell, Mecklenburg (ZIP code 28214), Mitchell, Polk, Rutherford, Surry, Swain, Transylvania, Watauga, Wilkes, Yadkin, and Yancey.
Multi-Family Construction and Repair Program
The MCR program is an initiative designed to increase the availability of safe and sanitary affordable rental housing in areas affected by Hurricane Helene. The program is intended to serve multi-family rental properties with five or more rental units, including the rehabilitation or development and construction of new rental housing stock that does not qualify for or receive Low-Income Housing Tax Credits (LIHTC) under the North Carolina Housing Finance Agency’s (NCHFA) Qualified Allocation Plan.
Eligible applicants for the MCR Program with non-LIHTC projects include for-profit and non-profit developers, public housing authorities, local governments, and joint ventures between these entities.
The award range for the MCR program is $500,000 to $15 million. Eligible uses of funds under the Multi-Family Construction and Repair program will include, but not be limited to:
- New construction of multi-family rental units;
- Substantial rehabilitation of existing rental units;
- Related site preparation and infrastructure improvements;
- Soft costs such as architectural and engineering fees;
- Compliance with HUD environmental, construction, and accessibility requirements.
Prescreening Process
On Monday, June 1, the MCR Program began offering prescreening for project planning and technical assistance, as needed. The prescreening process is intended to help the North Carolina Department of Commerce Division of Community Revitalization (DCR) assess unmet needs and assist potential applicants in determining whether a proposed project is likely to:
- Have the organizational capacity and experience to manage funds.
- Order the funding of assistance to avoid duplication of benefits.
- Access project shovel readiness to include (design, affordability, feasibility, and community impact).
To sign up:
- Visit the Renew NC Grant Portal.
- Click 'sign up now' to create an account.
- Follow the prompts to provide the necessary information.
- Once the prescreen is complete, a DCR staff member will follow up to discussion the submission.
Helpful user guides for the Renew NC Grant Portal and prescreening process are provided as additional resources on the Multi-Family Housing Program webpage. This page features information on funding allocation and eligibility requirements, as well.
Prescreening will remain open and can also be utilized before and during the application window. The prescreen can be saved at any point during the submission process and does not have to be completed in one sitting.
Renew NC also hopes to partner with the North Carolina Housing Finance Agency (NCHFA) to allocate CDBG-DR funding to projects that are awarded LIHTC.