New Jersey Housing and Mortgage Finance Agency

Supportive Housing

NJHMFA’s Multifamily Supportive Housing and Lending Division administers financing and support programs for service-enriched housing developments, housing for people with special needs and provides technical assistance and coordination within NJHMFA and other state agencies. 

The Division works to improve the housing situation for some of New Jersey’s most vulnerable citizens, including people with developmental disabilities, consumers of mental health services, the homeless, the frail elderly, people with HIV/AIDS, youth who are aging out of foster care, youth leaving the juvenile justice system, ex-offenders re-entering communities, and other under-served communities.

The Special Needs Housing Subsidy Loan Program (SNHSLP) provides capital financing to create permanent and affordable supportive housing and community residences for individuals with special needs.

New Jersey’s special needs populations include disabled and homeless veterans; homeless individuals and families; individuals with mental illness, and physical and developmental disabilities; victims of domestic violence; individuals in treatment for substance abuse; ex-offenders and youth offenders; youth aging out of foster care; runaway and homeless youth; individuals with AIDS/HIV; individuals 18 years and over coming out of nursing homes; and individuals in other emerging special needs groups identified by state agencies.

Under the SNHSLP, financing in the form of loans is available to eligible not-for-profit and for-profit developers, as well as government entities at the state, county and local level for new construction or the rehabilitation of housing.

The program enables residents with special needs to live with dignity and independence in communities of their choice with support services and other residential opportunities. 

The Special Needs Housing Partnership Loan Program (SNHPLP) creates affordable, permanent supportive housing and community residences for individuals with developmental disabilities. The initiative aligns with the State of New Jersey’s goal to help integrate people with special needs into the community who are able to be moved whenever possible from developmental centers, those who are part of the Return Home NJ Initiative, those who are on the DHS waiting list, and those who require emergency community residential placements into appropriate housing.

Under the SNHPLP, the New Jersey Housing and Mortgage Finance Agency (NJHMFA), the New Jersey Department of Community Affairs (DCA) and the New Jersey Department of Human Services (DHS) Division of Developmental Disabilities (DDD) provide financing to meet this initiative for the creation of housing for individuals with special needs.

As part of this initiative, the NJHMFA, DCA and DDD will assist municipalities in utilizing the monies in their municipal affordable housing trust fund accounts, and/or other state, municipal or private sources available to them by matching a municipal commitment of funds dollar for dollar with SNHPLP financing.

Loan proceeds through the SNHPLP may be used for the acquisition, new construction and rehabilitation of existing three to four-bedroom single family homes and the acquisition and rehabilitation of first floor three to four-bedroom condominiums.

Other housing arrangements of up to six (6) bedrooms may qualify, on a case-by-case basis, as may be accepted by NJHMFA staff, in consultation with the DDD. New construction, while not encouraged, will be considered on a case-by-case basis.

In April 2015, the U.S. Department of Urban Development (HUD) awarded the New Jersey Housing and Mortgage Finance Agency (NJHMFA) 206 Section 811 Project Rental Assistance (Sect. 811 PRA) subsidies to provide rental assistance for extremely low-income persons with disabilities and extremely low-income households with at least one person with a disability. The initial term of the Sect. 811 PRA is five years with yearly subsequent renewals subject to appropriations. The Sect. 811 PRA program was authorized under the Frank Melville Supportive Housing Investment Act of 2010.

The NJHMFA has designed the Sect. 811 PRA program to assist the State of New Jersey in fulfilling its Olmstead settlement obligations. NJHMFA, in partnership with the New Jersey Department of Human Services (DHS), will select individuals leaving developmental centers and state psychiatric hospitals, as well as those who are at risk of institutionalization as the targeted populations.

The Money Follows the Person Housing Partnership Program (MFPHPP) is a partnership between the New Jersey Housing and Mortgage Finance Agency (NJHMFA) and the New Jersey Department of Human Services, Division of Aging Services (DoAS).

The program provides capital subsidy to eligible non-profit and for-profit developers to set aside housing units for qualified individuals transitioning from nursing facilities to community settings.

Applications may be considered for projects located outside the priority counties identified in the MFPHPP Guidelines based on the changing needs of the target population.

Projects with more than 25% set aside special needs units, including those in the Supportive Housing Tax Credit cycle will not be eligible for MFPHPP funds because of the need for community integration.

Projects with more than 25% set aside special needs units, including those in the Supportive Housing Tax Credit cycle will not be eligible for MFPHPP funds because of the need for community integration.

For more information, please contact the Multifamily/Supportive Housing and Lending Division at 609-278-8884.

The Special Needs Housing Trust Fund, “Trust Fund”, pursuant to the Special Needs Housing Trust Fund Act, P.L. 2005, c. 163, provides capital financing to create permanent supportive housing and community residences for individuals with special needs, with priority given to individuals with mental illness. The purpose of this special non-lapsing, revolving fund, which is being administered by the New Jersey Housing and Mortgage Finance Agency (“NJHMFA”), is to develop special needs housing and residential opportunities as alternatives to institutionalization or homelessness for those who would benefit from these programs and to ensure the long-term viability of such housing. The monies in the Trust Fund will be used to enable persons with special needs to live with dignity and independence within communities of their choice by providing capital funding to increase the supply of affordable and quality housing with support services and other residential opportunities.

The Trust Fund provides capital financing in the form of loans, grants, and other financial vehicles and investments to eligible not-for-profit and for-profit developers, as well as government entities at the state, county, and municipal levels, for new housing units. Funding for rent and operating subsidies and supportive services is not available through the Trust Fund.

 

Tax Credit Supportive Housing Cycle

The Multifamily Supportive Housing and Lending Division works with the Agency’s Low Income Housing Tax Credit Program to support submission and review of applications for the Supportive Housing Cycle under the Agency’s Qualified Allocation Plan (QAP). The Supported Housing and Special Needs Division partners with the Tax Credit Division to review proposed qualified (meeting the threshold) projects that serve people with special needs.

Currently, Special Needs Projects in which at least 25% of the tax credit units are rented to a special needs population and which provide appropriate supportive services are eligible to apply to the Special Needs Cycle. Additional points may be provided to those applications which demonstrate the provision of on-site or off-site education and job training assistance.

For more detailed and up-to-date information, including the definition of special needs projects, examples of targeted special needs populations, as well as examples of supportive services, see the Low Income Housing Tax Credits page.

Organizations for Special Needs Developers

Here's a list of other organizations that may be able to assist with Special Needs projects.

New Jersey Department of Human Services

Division of Developmental Disabilities

Division of Mental Health and Addiction Services

Department of Children and Families

Division of Disability Services

U.S. Department of Housing and Urban Development, Local Programs, New Jersey Office

The Supportive Housing Association of New Jersey
185 Valley Street
South Orange, NJ 07079
Phone: (908) 931-1131

The Corporation for Supportive Housing, New Jersey Program
1 Broadway, Suite 2300
New York, NY 10006
Phone: (212) 986-2966

Housing and Community Development Network of New Jersey
145 W. Hanover Street
Trenton, NJ 08618
Phone: (609) 393-3752
Fax: (609) 393-9016
E-mail: info@hcdnnj.org