WASHINGTON, DC – Fannie Mae announced its Healthy Housing Rewards initiative aimed at providing a financial incentive for borrowers who incorporate healthy design features for newly constructed or rehabilitated affordable multifamily rental properties. Healthy Housing Rewards is one of several partnerships that Fannie Mae is advancing as part of a corporate-wide effort called Sustainable Communities Partnerships and Innovation.
The first phase of the Healthy Housing Rewards initiative will provide a pricing break for borrowers who incorporate design features that improve air quality, encourage physical activity, and incorporate common space, community gardens, and playgrounds into newly constructed or rehabilitated affordable rental properties.
“Incorporating healthy design features in affordable multifamily properties can have a big impact on residents – from increasing physical activity and social interaction to reducing environmental triggers for asthma,” said Jeffery Hayward, Executive Vice President, Multifamily, Fannie Mae. “When we strengthen the connection between affordable housing and the long-term health and stability of the people and families who live there, we help create more sustainable communities across the country. This new initiative will provide a financial incentive to borrowers who invest in the health and stability of the people who live in their affordable housing properties.”
Borrowers will be required to demonstrate that properties meet or exceed the minimum achievement score of 90 points under the Center for Active Design’s Healthy Housing Index, as well as other affordability requirements defined by Fannie Mae. This initiative will target properties where at least 60 percent of the units are serving tenants at 60 percent of average median income or less. Fannie Mae aims to provide below-market-rate financing for properties that meet the Healthy Housing standards.