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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) · § 401.600

§ 401.600. Will a section 8 contract be extended if it would expire while an owner's request for a Restructuring Plan is pending?

165 words·~1 min read·/us/cfr/t24/s§ 401.600·

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(a)If a section 8 contract for an eligible project would expire before a Restructuring Plan is implemented, the contract may be extended at rents not exceeding current rents:
(1)For up to the earlier of one year or closing on the Restructuring Plan under § 401.407; or
(2)For such period of time beyond one year as HUD may approve, up to the closing of the Restructuring Plan.
(b)Any extension of the contract beyond one year for a pending Restructuring Plan, other than an extension approved under this section, must be at comparable market rents or exception rents. An extension at comparable market rents will not affect a project's eligibility for the Mark-to-Market program once it has been established under this part.
(c)HUD may terminate the contract earlier if the PAE or HUD determines that an owner is not cooperative under § 401.402 or if the owner's request is rejected under § 401.403 or § 401.405. \[71 FR 2121, Jan. 12, 2006\]
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§ 401.600
Will a section 8 contract be extended if it would expire while an owner's request for a Restructuring Plan is pending?
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