[Code of Federal Regulations]

[Title 24, Volume 1]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR84.32]



[Page 489]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

PART 84_UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND AGREEMENTS 

WITH INSTITUTIONS OF HIGHER EDUCATION, HOSPITALS, AND OTHER NON-PROFIT 

ORGANIZATIONS--Table of Contents

 

                    Subpart C_Post-Award Requirements

 

Sec.  84.32  Real property.



    HUD prescribes the following requirements for recipients concerning 

the use and disposition of real property acquired in whole or in part 

under awards:

    (a) Title to real property shall vest in the recipient subject to 

the condition that the recipient shall use the real property for the 

authorized purpose of the project as long as it is needed and shall not 

encumber the property without approval of HUD.

    (b) The recipient shall obtain written approval by HUD for the use 

of real property in other federally-sponsored projects when the 

recipient determines that the property is no longer needed for the 

purpose of the original project. Use in other projects shall be limited 

to those under federally-sponsored projects (i.e., awards) or programs 

that have purposes consistent with those authorized for support by HUD.

    (c) When the real property is no longer needed as provided in 

paragraphs (a) and (b) of this section, the recipient shall request 

disposition instructions from HUD or its successor Federal awarding 

agency. HUD shall observe one or more of the following disposition 

instructions.

    (1) The recipient may be permitted to retain title without further 

obligation to the Federal Government after it compensates the Federal 

Government for that percentage of the current fair market value of the 

property attributable to the Federal participation in the project.

    (2) The recipient may be directed to sell the property under 

guidelines provided by HUD and pay the Federal Government for that 

percentage of the current fair market value of the property attributable 

to the Federal participation in the project (after deducting actual and 

reasonable selling and fix-up expenses, if any, from the sales 

proceeds). When the recipient is authorized or required to sell the 

property, proper sales procedures shall be established that provide for 

competition to the extent practicable and result in the highest possible 

return.

    (3) The recipient may be directed to transfer title to the property 

to the Federal Government or to an eligible third party provided that, 

in such cases, the recipient shall be entitled to compensation for its 

attributable percentage of the current fair market value of the 

property.