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Development Loan General Criteria:
Development loans may be made to non-profit organizations, public bodies, and limited profit entities. Loans may also be made to for-profit entities provided that 25% of the units assisted must be affordable to households with incomes at or below 80% of the Area Median Income as published by the Maryland Department of Housing & Community Development.
There shall be a clear demonstration by the organization borrowing funds that it has or will be provided administrative and technical skills to carry out the project and produce the housing for target population in a reasonable period of time.
It shall be reasonable to expect that construction can begin within eighteen (18) months from the time loan was approved.
Loan applications will be evaluated for:
- Level of subsidy being proposed -- mortgage interest credit, public housing, rental assistance, rent supplement, etc.
- Availability of identified, suitable land.
- Technical and administrative staff's previous experience and production record.
- Steps taken to arrange financing and availability of funds from the financing agency or other lender.
- Professional services available to project sponsor.
- Past record of services to limited income households.
- Representation of limited income persons on the applicant's governing body where feasible.
Development Loan Specific Criteria:
- Loans are short-term financing to assist in the development of workforce housing projects -- Not to exceed five years in length.
- Loan amounts will be for no less than $25,000, or exceed $500,000.
- Interest rate will be determined by the length of the loan. Principal is due at maturity. Interest rate will be determined by the length of the loan as follows:
a. 0% on loans paid in full before the end of two years.
b. 2% on loans paid in full during the third year.
c. 4% on loans paid in full during the fourth year.
d. 6% on loans paid in full during the fifth year.
- A minimum of 25% of units must be "workforce housing" (for households with incomes at or below 80% of area median).
- Applications will be ranked using pre-defined critera. (See development loan application).
Click Here for Maximum Sales/Rental Prices (Effective 5/1/10) for any development requesting waiver of TDR's through Calvert County's affordable housing initiatives.
Click Here for application.
Completed applications should be submitted to:
Calvert Housing Opportunity Loan Fund
c/o Housing Authority of Calvert County
P.O. Box 2509
480 Main Street
Prince Frederick, MD 20678
410-535-5010
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