25 unit HUD HOME development grants

[Frank Maratta]

Hi guys. Just curious if anyone has used the HUD HOME development grants. In my area the town is offering $157,000 subsidy per one bedroom unit to repurpose a church and a meeting hall I'm interested in converting to about 25 apartments. From the info I've gathered, the "max allowable" rent I can charge per unit for this HUD program is $1050 for a one bedroom unit. The numbers seem to work. I'm digging further and further into this and continuing to meet with town officials but I can't seem to find the catch? It seems almost too good to be true. Has anyone used this program. I believe another similar program is the CDBG.