How does a property know if MHDC or HUD is to approve surplus cash for a HUD insured project?
MHDC will approve surplus cash for any HUD insured project that MHDC is the mortgagee on and is considered an Old Reg project by HUD. “Old Reg” projects are those that have a new construction date of 11/4/79, or earlier, or that have a substantial rehabilitation date of 2/27/80, or earlier. Old or New Reg projects can be determined by checking the subsidy status screen in REMS. Surplus Cash for New Reg projects must be approved by HUD.
