Press Release  AG Campbell Awards $2 Million To Revitalize Distressed Neighborhoods And Expand Affordable Housing

Boston — The Attorney General’s Office (AGO) is awarding $2 million to Worcester Community Housing Resources, Inc., (WCHR) as part of its relaunch of the Receivership Expense Assistance for Creating Housing (REACH) program. The program will help facilitate the rehabilitation of blighted residential properties with enhanced provisions to encourage the creation of affordable housing units in communities across the Commonwealth. 

WCHR is a non-profit based in Worcester that provides financing for the development of residential properties. The REACH program, previously known as the Abandoned Housing Initiative Receivership Fund (AHIR), has selected them to serve as the program’s fund administrator. As administrator, WCHR will make loans to receivers across the state, overseeing rehabilitation projects that will help revitalize communities, return tax dollars to cities and towns, and increase the number of available housing units with the potential to create affordable homeownership opportunities. 

“The REACH program is an important tool in addressing our affordable housing crisis, offering critical funding that brings abandoned and blighted properties back into use,” said AG Campbell. “I am proud to announce Worcester Community Housing Resources as the administrator of this program and am confident that with their partnership we will be able to expand housing opportunities and make our neighborhoods safer, more beautiful places to live.”   

“We are excited to partner with Attorney General Campbell’s office to help put neglected homes back into use,” said N. Paul TonThat, Executive Director of Worcester Community Housing Resources, Inc. “Revitalizing homes revitalizes communities and is an important tool to increase the supply of affordable housing in our cities, suburbs, and towns.”    

Loans are available on a first come, first serve basis. Receivers interested in securing a loan should reach out to Maureen Flynn at WCHR by emailing mflynn@wchr.org. Additional information about the REACH program may be found on the AGO’s website. 

Previously, under AHIR, receivers could borrow up to $100,000 per affordable housing project, or $75,000 for market rate housing. REACH will now allow receivers to borrow up to $250,000 per project. Additionally, the REACH program will forgive up to 10% of loans on market rate housing projects and 15% of loans on affordable housing projects in which the cost of rehabilitation exceeds the sale price of the home. 

Since 2013, the program has loaned more than $9 million to property rehabilitation efforts, resulting in repairs at 109 blighted properties and 214 housing units put back into use. 

The REACH program is administered by the AGO’s Neighborhood Renewal Division (NRD), which was created from the Attorney General’s Abandoned Housing Initiative and uses the enforcement authority of the State Sanitary Code to turn around abandoned residential properties. Working in close partnership with cities and towns, NRD seeks out delinquent property owners and encourages them to voluntarily repair their properties. If owners refuse, the office’s attorneys will petition the court to appoint a receiver to bring the property up to code. 

Under AG Campbell’s administration, NRD has assisted communities in recovering approximately $1.46 million in previously unpaid property taxes and municipal fees. Additionally, NRD has completed the receivership and revitalization process on 75 properties across the Commonwealth. 

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