In an effort to breathe new life into communities struggling under the burden of neglected properties, the Attorney General's Office (AGO) is deploying an infusion of $2 million to Worcester Community Housing Resources, Inc. (WCHR). This investment aims to revitalize distressed neighborhoods through the rehabilitation of blighted residences while also focusing on the expansion of affordable housing. The funding is earmarked for the Receivership Expense Assistance for Creating Housing (REACH) program, designed to not just repair homes but to transform them into affordable living spaces for residents in need.
The REACH program, previously known under the Abandoned Housing Initiative Receivership Fund (AHIR) label, will be operated by WCHR, a non-profit that has a history of developing residential properties. Acting as fund administrator, WCHR is positioned to quickly distribute loans to receivers with the goal to turn around failing buildings into community assets. One key upgrade in the program is the ability to now loan up substantially more to receivers—up to $250,000 per project. This marks a significant increase from the previously capped amount of $75,000 for market rate housing and $100,000 per affordable housing project. Moreover, a portion of the loans might even be forgiven when rehabilitation costs exceed the eventual sale price of a home, signaling a commitment by the AGO to robustly support the affordable housing market.
Attorney General Campbell has underscored the crucial role of the REACH program in tackling the affordable housing crisis, highlighting its potential to render neighborhoods both safer and more visually appealing. “I am proud to announce Worcester Community Housing Resources as the administrator of this program and am confident that with their partnership we will be able to expand housing opportunities and make our neighborhoods safer, more beautiful places to live,” Campbell stated, according to the Massachusetts official website. In parallel, N. Paul TonThat, the Executive Director of WCHR, has welcomed the collaboration with the AGO, expressing excitement at the prospect of reviving homes and, by extension, communities, directly addressing the housing supply crisis.
Numerically, the program's impact since its inception has been noteworthy, with loans exceeding $9 million, leading to the refurbishment of 109 blighted properties and re-entry of 214 housing units into the market. This achievement is paired with a recovery of roughly $1.46 million in formerly uncollected property taxes and municipal fees under AG Campbell's leadership. For those interested in learning more about loan applications, reaching out to Maureen Flynn via email at [email protected] is suggested. Additional details about the program’s guidelines and application process can be found on the AGO website.
The REACH program's administration falls under the aegis of the AGO’s Neighborhood Renewal Division (NRD), which evolved from the Attorney General’s Abandoned Housing Initiative. This division leverages the enforcement clout of the State Sanitary Code to effect a turnaround in abandoned residential properties. NRD routinely works in concert with various municipalities to prompt delinquent property owners to revive their holdings or, failing that, petition the court for the appointment of a receiver to bring the property in line with code requirements. As a result, the receivership and revitalization process has been successfully completed for 75 properties across the Commonwealth, reflecting AG Campbell's administration's commitment to rewrite the narrative for these neighborhoods in distress.
