Section 515 Owner Can't Prepay Loans Without Following ELIHPA

摘要

A Section 515 project owner cannot prepay her loans unless she complies with the provisions of the Emergency Low-Income Housing Preservation Act (ELIHPA), ruled the U.S. District Court for the District of Oregon. Plaintiff Alberta Schroeder brought a suit to quiet title when she tried to prepay the balance of two loans in April 2006. The government refused prepayment because plaintiff did not comply with the procedures in ELIHPA, which Congress enacted to restrict prepayments that would result in a loss of needed low-income housing.