The U.S. Department of Housing and Urban Development (HUD) has allocated $160.1 million in grants to non-profit organizations nationwide to support the development and preservation of affordable multifamily rental housing for low-income seniors. The funding, administered through HUD’s Office of Multifamily Housing Programs, aims to address homelessness and provide independent living options for seniors.

HUD Secretary Marcia L. Fudge emphasized the Biden-Harris Administration’s commitment to ensuring access to quality affordable housing for seniors, especially amid rising homelessness among this demographic.

The grants, provided under HUD’s Section 202 Supportive Housing for the Elderly program, will facilitate the construction and operation of 1,262 new deeply rent-assisted units for low- and very low-income seniors. Additionally, several grantees will develop mixed-income communities, adding 526 affordable and market-rate units to the funded projects, totaling 1,788 homes.

The Section 202 program offers low-income elderly individuals aged 62 and older the opportunity to live independently in supportive environments tailored to their unique needs, such as nutrition, transportation, education, and health-related services.

HUD disburses these funds to non-profit organizations in the form of Capital Advances, which cover development, acquisition, or rehabilitation costs, and Project Rental Assistance Contracts (PRAC), which bridge the gap between residents’ rent contributions and project operating expenses.

The Section 202 program targets very low-income seniors, typically those earning less than 50 percent of the area median income, with most households earning less than 30 percent of the median for their area.

The grants reflect HUD’s mission to foster sustainable, inclusive communities and provide quality affordable homes for all, aligning with efforts to address housing needs and support vulnerable populations, particularly seniors.

https://www.hud.gov/press/press_releases_media_advisories/hud_no_23_227