[Code of Federal Regulations]
[Title 24, Volume 3]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR585.310]

[Page 271]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
  CHAPTER V--OFFICE OF ASSISTANT SECRETARY FOR COMMUNITY PLANNING AND 
        DEVELOPMENT, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
 
PART 585_YOUTHBUILD PROGRAM--Table of Contents
 
               Subpart D_Youthbuild Implementation Grants
 
Sec. 585.310  Project-related restrictions applicable to Youthbuild 
transitional housing for the homeless.

    Where the award of a Youthbuild implementation grant includes the 
eligible activities of acquisition, architectural and engineering fees, 
construction, rehabilitation, operating costs or replacement reserves of 
transitional housing units, and where the costs for these activities are 
funded, in whole or in part, with Youthbuild grant funds, the housing 
project shall be required to comply with the following Youthbuild 
project-related restrictions:
    (a) Limitations on profit. Youthbuild residential rental housing 
projects meeting the requirements of this section shall be restricted 
from producing profit in excess of the limitations set out in sections 
455(c)(1) and (2) of NAHA.
    (b) Restrictions on conveyance. Conveyance restrictions apply to 
Youthbuild transitional housing projects meeting the requirements of 
this section. Ownership of the property may not be conveyed unless the 
instrument of conveyance requires a subsequent owner to comply with the 
same restrictions imposed upon the original owner for the balance of the 
10 year period.
    (c) Program requirements for transitional housing. (1) Youthbuild 
transitional housing projects meeting the requirements of this section 
shall adhere to the requirements regarding service delivery, housing 
standards and rent limitations applicable to comparable housing 
receiving assistance under the Transitional Housing component of the 
Supportive Housing Program (title IV of the Stewart B. McKinney Homeless 
Assistance Act).
    (2) The Secretary may waive these requirements to permit the 
conversion of a Youthbuild transitional housing project to a permanent 
housing project only if such housing complies with the Youthbuild 
project-related restrictions for residential rental housing projects 
found in Sec. 585.309.
    (d) Ten year restriction. The restrictions listed in paragraphs (a) 
through (c) of this section shall remain in force for a period of not 
less than 10 years after construction completion and issuance of an 
occupancy permit for a Youthbuild transitional housing project receiving 
Youthbuild assistance.

[60 FR 9737, Feb. 21, 1995, as amended at 61 FR 52187, Oct. 4, 1996]