HUD 202 Restricted Sale of a HAP Property in Suburban ChicagoKyle Shoemaker
On October 1st, AHIB completed the HUD 202 Restricted Sale of a HAP Property in Suburban Chicago. The building, known as ICARE (Illinois Chinese American Residence for the Elderly), is located in Westmont, Illinois, and is comprised of 60 units of which 59 are covered by a project-based Section 8 contract. Though the property had previously been refinanced, there is still a HUD 202 Use Agreement in place, restricting ownership to a non-profit organization and limiting allowable distributions.
The property’s non-profit Seller retained AHIB to confidentially market the asset. Nearly ten qualified bids were procured, and the ultimate buyer closed utilizing tax-exempt bonds and 4% Low Income Housing Tax Credits. In addition to the agreed sale price, the buyer also reimbursed the seller for the transfer of existing reserve accounts.