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Code · CFR · Title 24 — Housing and Urban Development · Part 401 — Multifamily Housing Mortgage and Housing Assistance Restructuring Program (Mark-to-Market) · § 401.402

§ 401.402. Cooperation with owner and qualified mortgagee in Restructuring Plan development.

120 words·~1 min read·/us/cfr/t24/s§ 401.402·

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A PAE must comply with section 514(a)(2) of MAHRA by using its best efforts to seek the cooperation of the owner and qualified mortgagee or its designee in the development of the Restructuring Plan. If the owner fails to cooperate (as demonstrated by reasonable progress in development of a Restructuring Plan) to the satisfaction of the PAE and HUD agrees, the PAE must notify the owner that the PAE will not develop a Restructuring Plan. This notice will be subject to dispute and administrative appeal under subpart F of this part.
If the qualified mortgagee does not cooperate in modifying the mortgage, the PAE and owner may continue to develop a Restructuring Plan to restructure the loan using alternative financing.
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§ 401.402
Cooperation with owner and qualified mortgagee in Restructuring Plan development.
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