Community Housing Development Organizations

Through the City's HOME Program 15% of funds from the federal government are allocated for housing that will be owned, developed, or sponsored by entities designated as Community Housing Development Organizations (CHDO's).

Typically, CHDO's are nonprofit organizations that are rooted in neighborhoods and support the idea of community-led revitalization, which the HOME Program and other HUD programs promote.

Qualification for CHDO Designation:

  • Organization provides decent housing that is affordable to low- and moderate-income persons;
  • Organization has effectively carried out activities financed by HOME funds;
  • Organization has a history of serving the community where the HOME-funded housing will be located;
  • Organized under State and local law and exempt form taxes under Section 501(c)(3) of the Internal Revenue Code; and
  • Organization meets standards of financial accountability.

CHDO Requirements:

  • Remain accountable to public interest;
  • Maintain a governing board which is representative of the community; and
  • Maintain a formal process that allows low-income residents and other program beneficiaries to provide input on relevant decisions.

Eligible Activities and Costs include:

  • Acquisition and/or rehabilitation of rental housing;
  • New construction of rental housing;
  • Acquisition and/or rehabilitation of homebuyer properties;
  • New construction of homebuyer properties; and
  • Direct financial assistance to purchasers of HOME-assisted housing sponsored or developed by a CHDO with HOME funds.

Ineligible Activities

  • Tenant-based rental assistance (TBRA);
  • Homeowner rehabilitation; and
  • Brokering or other real estate transaction.

For more information on HOME Programs and CHDO funding, please call CDBG staff at  (310) 412-8844.