The Metropolitan Transportation Commission committed $10 million Wednesday to establish a loan fund to help nonprofit developers acquire and preserve existing San Francisco Bay Area housing, MTC officials said.
The money can be used for multi-family housing that is in high-frequency transit service areas and would be affordable for low and middle-income renters.
The $10 million will be supplemented with $39 million from two other funds known as the Enterprise Community Loan Fund and the Low Income Investment Fund.
Nonprofit developers and joint venture partnerships can tap the fund for loans of up to $7 million for terms as long as 10 years to buy non-subsidized apartment buildings with at least four units.
Rents for at least three-quarters of the units must be affordable for households whose annual income is no more than 80 percent of the Bay Area’s median income.
In the Bay Area the median income ranges from $64,300 to $105,350 depending on the county.
Borrowers can also use a loan to fund an operating reserve for the acquired property, perform life safety upgrades and limited other rehabilitation work.