COLORADO GOVERNOR JARED POLIS, COLORADO DEPARTMENT OF LOCAL AFFAIRS
Governor Polis and the Colorado Department of Local Affairs (DOLA) announced that DOLA’s Division of Housing (DOH), Office of Housing Finance and Sustainability (OHFS) granted more than $28 million to three loan program administrators for the Mobile Home Park Resident Empowerment Program (MHPREP).
“This important support helps residents purchase the land their homes are on, and we are excited to continue the important work to make sure Coloradans have access to safe and affordable housing,” said Gov. Polis.
SB22-160 establishes a revolving loan and grant program to provide assistance and financing to mobile home owners seeking to organize and purchase their mobile home parks. The Division of Housing (DOH), within the Department of Local Affairs (DOLA), per the statute was required to contract with at least two, and not more than three, loan program administrators. Through the Mobile Home Park Acquisition Fund, these loan program administrators are required to use money provided by the loan program to make loans to mobile homeowners seeking to purchase their mobile home parks.
Under the statute, the Division set up a Technical Assistance Grant Program that will allocate money to nonprofit organizations that assist eligible homeowners to purchase their mobile home parks by providing them technical and other support. In order to promote measures that ensure the long-term affordability of a resident-owned park, including stabilizing lot rents and restricting rent increases, DOH has also developed a Stabilization Grant Program to distribute funds to qualifying home owners.
“Mobile homes provide an affordable opportunity for a safe and stable home for tens of thousands of Coloradans. The opportunity for the homeowners to buy the land under their homes can protect that affordability and their interest in their homes impacting generations,” said Alison George, director, DOH.
The Loan Program Administrators
Applicant: ROC USA
Award: $12 million
Funding Purpose: Acquisition lending
Applicant: Impact Development Fund (IDF)
Award: $11.75 million
Funding Purpose: Acquisition lending
Applicant: Thistle ROC
Award: $5 million
Funding Purpose: Technical assistance and stabalization grants
About ROC USA
ROC USA, Capital (ROC) will utilize an allocation of $12 million to provide critical, longer term low cost loan capital to finance resident acquisition of mobile home parks in Colorado. ROC is a national nonprofit social enterprise with the board-approved mission statement to support homeowners in mobile home parks to achieve affordable, sustainable self-governing cooperatives.
ROC USA® Capital finances low-income resident corporations to buy and improve MHPs and promote wealth-building among lower-income homeowners. Since 2008, ROC has delivered over $300 million to 110 resident-owned manufactured home communities in 19 states including Colorado, preserving affordable homeownership for more than 9,352 lower-income families and seniors.
About Impact Development Fund (IDF)
Impact Development Fund (IDF) was awarded $11.75 million of capital from the Mobile Home Park Acquisition Fund to deploy through its Manufactured Home Community Finance (MHCF) program. IDF’s existing MHCF program continues to experience high demand for financing.
Through the program, IDF has financed all or a portion of seven manufactured home park acquisitions representing $14.8 million in financing with an additional six parks in the pipeline. Through the IDF program, low-cost, flexible loans are available to eligible non-profit organizations or resident homeowner organizations to purchase and improve Colorado manufactured home communities.
About Thistle ROC
Thistle ROC, a program of Thistle Communities, was awarded $5 million from the MHPAF to support established Resident Owned Communities (ROC)’s and other mobile home communities over a five-year term using the recoverable grant option.
The $5 million will be used to fund both portions of the Technical Assistance and Stabilization Grant program. Over the course of five years, Thistle ROC will annually administer approximately 30%, or $300K, for the purposes of providing technical assistance to communities seeking technical assistance in the process of resident ownership. The remainder of the 70% or $700,000 will be allocated annually to existing and potential ROC communities in the conversion process to stabilize rents.
For more information about this funding and these programs, please visit DOLA’s website.
Stay tuned for more information about mobile home park chattel loans available through the Emergency Mortgage Assistance Program (EMAP).