The Rental Rehabilitation Housing Program (RRHP) is a pilot program by the Lincoln County Economic Development Foundation (LCEDF) intended to support the substantial rehabilitation of rental houses within Lincoln County to improve both the quantity and quality of properties within the local rental housing market.
The RRHP provides ‘gap financing’ to fill the gap between the property owner’s financial ability to do the project (purchase price and cost of improvements) and the bank’s ability to provide a loan to fund the project. The gap financing will be in the form of one or all of the following:
- Grant for inspections – Up to $500 to help with the cost of inspections that are required as part of the RRHP application process. The grant will be a reimbursement after project completion.
- Grant for improvements – Up to 25% of the overall cost of improvements up to $5000. The grant will be a reimbursement after project completion.
- Low-interest loan – Up to twice the applicant’s personal investment in the project. (For example, if an applicant has $3000 of personal investment in the project, the loan amount will be a maximum of $6000.) Loan will be structured as either a short-term loan at 1% interest with a balloon payment due in 1 year or long-term loan at 4% interest with monthly payments and up to 10-year term. Requires a pre-approved loan from a local bank to cover the bulk of the project financing.
As a pilot program, a maximum of three (3) projects will be funded at this time. In the future, if the initial RRHP-approved projects prove to be effective at achieving the LCEDF’s goals for substantially improved rental houses, the LCEDF may open the program up to additional applicants.
Full program details, including the requirements, application process and application are available in the program guide and application.