[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

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

[CITE: 24CFR891.530]



[Page 202-203]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

  CHAPTER VIII--OFFICE OF THE ASSISTANT SECRETARY FOR HOUSING-FEDERAL 

 

PART 891_SUPPORTIVE HOUSING FOR THE ELDERLY AND PERSONS WITH DISABILITIES

--Table of Contents

 

      Subpart E_Loans for Housing for the Elderly and Persons with 

                              Disabilities

 

Sec.  891.530  Prepayment privileges.



    (a) The prepayment (whether in whole or in part) or the assignment 

or transfer of physical and financial assets of any Section 202 project 

is prohibited, unless the Secretary gives prior written approval.

    (b) The Secretary may not grant approval unless he or she has 

determined that the prepayment or transfer of the



[[Page 203]]



loan is part of a transaction that will ensure the continued operation 

of the project, until the original maturity date of the loan, in a 

manner that will provide rental housing for the elderly and handicapped 

on terms at least as advantageous to existing and future tenants as the 

terms required by the original Section 202 loan agreement and any other 

loan agreements entered into under other provisions of law.