Affordable Housing

223(f) Acquisition / Refinance

The HUD 223(f) program provides 35 year fixed rate, non-recourse financing for the purchase or refinance of affordable multifamily projects nationwide. The 223(f) program is an excellent way for projects to complete capital improvements, generate a large replacement reserve deposit, and potentially secure cash out. 

Bedford Lending specializes in helping borrowers (including non-profits and Housing Authorities) who may have little to no familiarity with HUD financing successfully recapitalize and preserve their properties. We are a family business that often acts as a free "consultant" in addition to a direct lender, as we have substantial experience with affordable housing that we can draw from to assist you with your needs. Because of our size, we can also often work on transactions that are too small or complex for other lenders to review.

Typically, the 223(f) program takes about 4-6 months from start to finish.

Affordable projects qualify for minimum 90% LTV financing, which can be blended with grants and other equity sources (such as AHP) to meet or exceed 100% financing. For RAD conversions, the timing of the conversion process aligns with the HUD 223(f) program, and both can be processed concurrently. EPC loans and other debt can be paid off as part of a refinance if desired.

Projects do not need to use tax credits or have a HAP contract to qualify as "affordable housing".