RFP - Development of Affordable Housing on City-Owned Vacant Lots

Background
The City of Fayetteville, NC, is issuing a Request for Proposals (RFP) for the development of affordable housing on approximately 45 city-owned vacant lots. This initiative aims to increase affordable homeownership opportunities for low- to moderate-income families, utilizing down payment assistance and construction financing in accordance with federal affordability standards.

The project aligns with the City’s Affordable Single-Family Housing Development Program Guidelines and is supported by HUD’s HOME Investment Partnerships Program, which provides federal funding for affordable housing initiatives.

Work Details
The selected developers will be responsible for constructing affordable for-sale units that serve households at or below 80% of the Area Median Income (AMI). The homes must remain affordable for a minimum of 15 years.

Developers will receive city-owned property at no cost, interest-free construction financing up to $50,000 per unit, and down payment assistance of up to $50,000 per eligible homebuyer. The maximum sales price for new construction units cannot exceed $288,000 as per HUD guidelines.

Developers must begin construction within 6 months of award and complete it within 24 months. All homes must be sold to qualified buyers within 9 months post-construction completion or rented to income-qualified tenants for 20 years.

Period of Performance
Construction must commence within 6 months of project award and be completed within 24 months. Homes must be sold or rented within specified timeframes following completion.

Place of Performance
City-owned vacant lots located in Fayetteville, North Carolina.