cost recovery basis
(11) Definitions For purposes of this subsection, the following definitions shall apply: (A) Community development corporation The term “community development corporation” means a nonprofit organization whose primary purpose is to promote community development by providing housing opportunities for low-income families. (B) Cost recovery basis The term “cost recovery basis” means, with respect to any sale of a residential property by the Secretary, that the purchase price paid by the purchaser is equal to or greater than the sum of: (i) the appraised value of the property, as determined in accordance with such requirements as the Secretary shall establish; and (ii) the costs incurred by the Secretary in connection with such property during the period beginning on the date on which the Secretary acquires title to the property and ending on the date on which the sale is consummated. (C) Multifamily housing project The term “multifamily housing project” has the meaning given the term in section 1701z–11 of this title . (D) Residential property The term “residential property” means a property that is a multifamily housing project or a single family property. (E) Secretary The term “Secretary” means the Secretary of Housing and Urban Development. (F) Severe physical problems The term “severe physical problems” means, with respect to a dwelling unit, that the unit— (i) lacks hot or cold piped water, a flush toilet, or both a bathtub and a shower in the unit, for the exclusive use of that unit; (ii) on not less than three separate occasions during the preceding winter months, was uncomfortably cold for a period of more than 6 consecutive hours due to a malfunction of the heating system for the unit; (iii) has no functioning electrical service, exposed wiring, any room in which there is not a functioning electrical outlet, or has experienced three or more blown fuses or tripped circuit breakers during the preceding 90-day period; (iv) is accessible through a public hallway in which there are no working light fixtures, loose or missing steps or railings, and no elevator; or (v) has severe maintenance problems, including water leaks involving the roof, windows, doors, basement, or pipes or plumbing fixtures, holes or open cracks in walls or ceilings, severe paint peeling or broken plaster, and signs of rodent infestation. (G) Single family property The term “single family property” means a 1- to 4-family residence. (H) Substandard The term “substandard” means, with respect to a multifamily housing project, that 25 percent or more of the dwelling units in the project have severe physical problems. (I) Unit of general local government The term “unit of general local government” has the meaning given such term in section 5302(a) of title 42 . (J) Unoccupied The term “unoccupied” means, with respect to a residential property, that the unit of general local government having jurisdiction over the area in which the project is located has certified in writing that the property is not inhabited.