Workforce Housing for Ownership

There is a distinct need within the HUD-Identified MID counties for additional homeownership opportunities that are affordable to broader segments of the workforce to incentivize them to remain in western NC following Helene and to partially remedy inadequate housing production in past years across western NC. The term “workforce,” as used under this program, refers to households up to 80% of AMI.  

To address this need, the Workforce Housing for Ownership (WHO) program will fund development of workforce housing units for ownership. Qualified local governments, public, private, or non-profit organizations, and Community Development Housing Organizations (CHDOs)/Community Based Development Organizations (CBDOs) may be eligible to apply for WHO program funds.

Program TitleWorkforce Housing for Ownership
Total Budget/CDBG-DR Allocation
  • $53,380,000 ($44,066,150 CDBG-DR plus $9,313,850 for mitigation)
Lead Agency and Distribution Process
  • NCDOC will be lead agency with contractor support and will undertake necessary environmental reviews per 24 CFR 58.  
  • Process will be competitive application.
Program Description
  • Fund construction of units for purchase by LMI households. See description following this table for complete description. Approach may include repurposing of existing buildings.
Eligible Geographic Area
  • Program will provide homeownership opportunities in HUD-Identified MID area with 100% of funds to be expended for construction of units to be purchased by LMI households.
Other Eligibility Criteria
  • Eligible applicants will include local governments, public, private, or non-profit organizations, and Community Development Housing Organizations (CHDOs)/Community Based Development Organizations (CBDOs).
Maximum Amount of Assistance per Beneficiary
  • Awards of $2 million to $5 million in the form of a grant to eligible applicants to undertake development of workforce housing for ownership purposes. Proposed developments must be in HUD-Identified MID area with 100% of funds to expended in HUD-Identified MID area.
Maximum Income of Beneficiary
  • Purchasers must be at or below 80% AMI.
Mitigation Measures
  • Application scoring will include criteria focused on mitigation and proposed projects must incorporate mitigation actions as appropriate based on evident risks. 5% of the CDBG-DR Mitigation set aside will be reserved for use with activities and projects funded under this program.
Reducing Barriers for Assistance
  • Developers shall price units to be affordable to LMI households.
Eligible Activities
Referenced to Title I of Housing and Community Development Act of 1974 (42 USC 5305(a)) or HUD Revised Universal Notice
  • §5305(a)(1) – Acquisition
  • §5305(a)(3) – Code Enforcement
  • §5305(a)(4) – Clearance, Rehabilitation, Reconstruction and Construction of Buildings, including housing
  • §5305(a)(5) – Removal of Architectural Barriers
  • §5305(a)(7) – Disposition
  • §5305(a)(8) – Public Services
  • §5305(a)(11) – Relocation Payments
  • §5305(a)(13) – Administrative Costs
  • §5305(a)(14) – Assistance to Non-Profit Entities
  • §5305(a)(15) – Assistance to Neighborhood-Based Organizations
  • §5305(a)(20) – Housing Services
  • §5305(a)(24) – Direct Assistance for Homeownership Activities
  • §5305(a)(25) – Tornado Shelters
  • §5305(a)(26) – Lead-Based Paint Hazard Evaluation and Reduction
  • Revised Universal Notice - New Housing Construction – Section III.D.5.a.
National Objective(s) - Referenced To 24 CFR 570, Subpart I and/or HUD Revised Universal Notice
  • LMI Benefit through Housing - 24 CFR 570.483(b)(3)
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