HUD’s Office of Multifamily Housing Programs has published a Housing Notice titled Approval and Processing of Requests to Bifurcate Contracts. Bifurcation is an important asset management and housing preservation tool. The Notice explains the standards and conditions a Project Owner must meet to obtain HUD approval for a Housing Assistance Payments (HAP) contract bifurcation, clarifies owner submission requirements, and describes the processing of approved bifurcation requests. The Notice applies to bifurcation requests submitted to HUD on or after February 1, 2024.
Read the full Notice here.