Cal. Code Regs. Tit. 25, § 8080 - Type and Term of Loan

(a) Sponsors shall elect to receive program financing as either combination construction and permanent loans or permanent loans only.

(b) The initial term of the loan shall be 40 years, commencing on the date of initial occupancy of an assisted unit.

(c) Upon request by the sponsor, the department shall approve an initial loan term longer than that set forth in subdivision (b) provided that such longer term does not exceed the useful life of the rental housing development as determined by the department utilizing assessments provided by professionals from the construction and real estate industries, such as the conclusions of an appraiser or a structural engineer.

(d) Upon request by the sponsor, the department may approve a ten-year extension of the loan term if the department determines both of the following are met:

(1) The sponsor is in compliance with the Regulatory Agreement and agrees to continue to comply during the extended term; and

(2) The extension is necessary to continue operations consistent with program requirements.

(e) The department may condition the extension on such terms as it deems necessary to ensure compliance with the requirements of this program.

Notes

Cal. Code Regs. Tit. 25, § 8080

Note: Authority cited: Section 50771.1, Health and Safety Code. Reference: Sections 50766 and 50771.1, Health and Safety Code.

1. New section filed 12-29-89 as an emergency; operative 12-29-89 (Register 90, No. 3). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed by operation of law on 4-30-90.
2. New section refiled 4-26-90 as an emergency; operative 4-26-90 (Register 90, No. 23). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed by operation of law on 8-24-90.
3. New section refiled 8-27-90 as an emergency; operative 8-27-90 (Register 90, No. 42). A Certificate of Compliance must be transmitted to OAL by 12-26-90 or emergency language will be repealed by operation of law on the following day.
4. New section refiled 12-19-90 as an emergency pursuant to Health and Safety Code section 50771.3; operative 12-19-90 (Register 91, No. 4). A Certificate of Compliance must be transmitted to OAL by 4-18-91 or emergency language will be repealed by operation of law on the following day.
5. Certificate of Compliance as to 12-19-90 order transmitted to OAL 1-4-91; disapproved by OAL 2-4-91 (Register 91, No. 13).
6. New section refiled 2-20-91 as an emergency; operative 2-20-91 (Register 91, No. 13). A Certificate of Compliance must be transmitted to OAL by 6-17-91 or emergency language will be repealed by operation of law on the following day.
7. Certificate of Compliance as to 6-14-91 order including amendment of subsections (a), (c) and (d) transmitted to OAL 5-15-91 and filed 6-14-91 (Register 91, No. 38).