Hap mod section 8 contracts in New Jersey

[Steve Wilcox]

Hey guys, I am in due diligence on a small apartment building that has a moderate rehab section 8 contract in place, but the original contract has expired years ago, and now they are on a year to year basis. The contract is administered by DCA in New Jersey.

I am wondering if anyone has experience working with the moderate rehab section 8 program, specifically in Newark NJ. My understanding is that the contracts are basically for each individual unit, and are attached to the building, which is different then the housing choice vouchers which are attached to the tenant. That said if there is a vacancy or someone moves out the agency does not pay for the vacant unit during that time, but provides you with a few options after potential new tenants.

Wondering if I am missing anything, or misunderstanding something, and if anyone has any experience with the program