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NJ Housing & Mortgage Finance Agency Offers Loan Monies for Energy Efficient Upgrades

By Vincent J. Mangini

As a result of funding made available to New Jersey through the American Recovery and Reinvestment Act of 2009, the NJ Housing & Mortgage Finance Agency (NJHMFA) has introduced a number of loan programs to facilitate the construction of energy efficiency upgrades and renewable energy installations in multifamily housing.  One such program is the Multifamily Energy Efficiency Improvement Pilot (MEEIP), which provides loans for eligible energy efficiency upgrades at an interest rate of two percent (2%) to owners of certain multifamily structures.  Financing is limited to a maximum of $2,000 per unit and $500,000 per project.  An applicant who seeks funding under this program must own a multifamily building that is over 20 years old and contains at least five units and must either have an existing primary permanent mortgage with the NJHMFA or propose to renovate the building into rental housing with a NJHMFA primary permanent mortgage.  In addition, to qualify an applicant must participate in the Board of Public Utilities' Pay for Performance Program, agree to extend affordability controls for an additional 15 years and satisfy a host of other requirements.

Full post as published by New Jersey Law Blog on December 21, 2010 (boomark / email).