If you are an owner or developer of affordable housing, we wanted to be sure you are aware of Florida Housing Finance Corporation’s (“FHFC”) Emergency Rule 67ER20-1, which creates incentives for owners of developments that do not raise rents during the pandemic period. The Rule puts owners and developers on notice that rent increases during the public health emergency will negatively impact the owners' or developers' ability to receive funding from the FHFC. According to the Rule, owners or developers that can substantiate that they suspended rent increases during the public health emergency (tied to the state and federal disaster orders) will receive preference in Requests for Applications issued by FHFC for one year from the effective date of the Rule (4/29/20). While the specifics of these preferences are not provided, and the Rule states that the specifics will be provided in the individual solicitations owners or developers must be aware of the Rule and track the data so that they are in a position to substantiate their rent record during the public health emergency.
A copy of the Rule in its entirety can be found here.
This information is intended to inform our clients and other friends about legal developments, including recent decisions of various municipalities, legislative, and administrative bodies. Because of the rapidly changing landscape related to COVID-19, we intend to send out regular updates. The information we provide is not intended as legal advice and viewers/readers should not rely on information contained in these materials to make business or legal decisions. Before making any legal decisions, consult your lawyer. Please do not hesitate to contact us should you need assistance responding to the many issues which have arisen, and will continue to arise, out of this situation.