In the 2027–2029 QAP, when an applicant seeks points under the “Permanent BelowMarket Sources” category for “Negligible Land Costs,” must the "Site Control Documentation" demonstrate that the property is being transferred directly from the current owner to the project-level ownership entity for less than $5,000? Or, is it allowable for the "Site Control Documentation" to show a transfer from the current owner to a member of the development team at a purchase price above $5,000, with that team member subsequently transferring the land to the project-level entity for less than $5,000?
FAQ Content
The property needs to come directly from the current/original owner. The reason for this is because any purchase or lease option the project-level owner has with the “middle man” development team member would not be valid because the development team member doesn’t own the site and cannot enter into another option with a subsequent secondary buyer. We would not consider this a valid form of site control.