About

 31xx Pillsbury Avenue S                                             30xx Pillsbury Avenue S

The properties above are part of larger portfolio purchased by Aeon in 2019 using the Minneapolis NOAH Preservation Fund.

Rent and income restrictions

• NOAH portfolios must contain 75% or more units that are affordable to households making less than 80% of the Area Median Income (AMI); and 20% of those units must be affordable to households making less than 60% of AMI.
• Borrowers are required to commit to a fixed number of affordable units for a fixed time frame when applying for NOAH Preservation Fund loans.

Loan terms

• Deferred loans of up to $35,000 per unit at or below 60% AMI with 0% interest for a 10-30 year term are available to assist with acquisition financing of NOAH properties. Borrowers are encouraged to include more deeply affordable units, and the City may award up to $40,000 for each unit at or below 50% AMI. Priority is given to acquisitions that have higher numbers of deeply affordable units, and that preserve affordability for longer than 10 years.
• NOAH Preservation Fund guidelines

Application process

During the application window:

• If we receive fewer than 4 qualified applications, we will extend the application window for another month.
• Should any of the selected projects not proceed, staff may check whether any non-selected, qualified projects from the same application round can proceed to closing.

We are prioritizing applications with:

• Greater numbers of more deeply affordable units at or below 50% of the Area Median Income (AMI).
• A longer affordability term exceeding the minimum 10-year term.
• Smaller scale and emerging developers with ties to the neighborhood where the project is located.

Resources for prospective borrowers

• Diagram: understanding the loan application and closing process
• Financial proforma template for prospective borrowers
• Closing checklist for borrowers
• Pre-application requirement: all borrowers must complete a pre-application meeting with NOAH program staff. To schedule a meeting, email the Naturally Occurring Affordable Housing Preservation Fund team