Purpose
The Nuisance Property and Abandoned Building Remediation program provides financial assistance to communities to remediate residential nuisance buildings and structures.
The administrative rules for the Nuisance Property and Abandoned Building Remediation program can be found in Iowa Administrative Code, section 216- Chapter 22. Please refer to these rules as necessary for more information regarding program requirements.
Eligibility and available funds
All cities within the state of Iowa are eligible applicants.
A project may include properties at multiple sites and locations, whether contiguous or not, as long as all properties to be remediated or redeveloped are included in the redevelopment plan described within the application.
The program has a maximum loan request of $500,000. IEDA will evaluate requests and approve loan amounts based on application scoring, ability to repay, and the amount of program funds available.
Uses of Funds
Loan monies can be utilized for the demolition or remediation and reuse of structures, with a priority focus on single-family homes. With the exception of brownfield/grayfield sites, funds can also be utilized for associated general site cleanup/clearance. All buildings made part of the program must be documented as representing a public nuisance through abandonment, chronic building code violations, or structural dilapidation to the point of being hazardous to the public health, safety and welfare.
Communities may use funds only for costs directly related to the project as proposed within an application and as specified in the administrative rules. The program administrative rules can be found here: https://www.legis.iowa.gov/docs/iac/chapter/03-27-2019.261.22.pdf
The Authority may require documentation or other information establishing the actual costs incurred for a project. The amounts of any lien created for costs related to remediation cannot be used for the repayment of Nuisance Property and Abandoned Building Remediation program funds to IEDA.
The amount of the loan, term, interest rate, repayment schedule, and any other conditions will be included in the contract between the community and IEDA.
Rates and Terms
Assistance under the Nuisance Property and Abandoned Building Remediation program will be in the form of a short-term loan. Interest rates will be set at 0%. Terms will be a maximum of five years.
Communities may make loan payments to IEDA on a quarterly, semi-annual or annual basis.
Projects funded through the program are expected to be completed within three years but, in all cases, within the term of the loan if longer than three years.
Evaluation criteria
Applications should describe how the proposed activities will allow the city to undertake remediation and/or redevelopment activities in a comprehensive and coordinated manner.
Financial need of the community
Extent of blight in the community
Condition of housing stock in the community
Administrative and operational capacity of the community
Percentage of low to moderate income residents in the community
Each of the five review criteria has a maximum of 20 points; The maximum score for an application is 100 points. Applications must achieve a score of at least 50 points to be considered for funding. The IEDA Director will make the final funding decision on each application and will approve final rates and terms. Final funding decisions will be based on application scores and the amount of funding available.
Submitting Your Application
