Evaluation of the Section 202 Demonstration Predevelopment Grant Program
Section 202 Supportive Housing for the Elderly is the US. Department of Housing and Urban Development's (HUD's) primary program for developing subsidized rental housing for elderly residents with very low incomes. The Section 202 Demonstration Predevelopment Grant (DPG) Program was created in 2004 to provide predevelopment funding to recipients of Section 202 capital advance awards to reduce development delays and increase the number of affordable rental units available each year for low-income elderly households. The Office of Policy Development and Research at HUD commissioned this study to assess whether the DPG Program has been effective in reducing development delays. The study also explores factors that are associated with Section 202 sponsors' decisions to participate in the DPG Program and documents the experience of sponsors and HUD project management staff with the DPG application process and grant administration. Finally, the study identifies other factors that HUD staff and sponsors say contribute to development delays, including HUD policies and local regulatory environments.