---
kind: "section"
citation: "24 C.F.R. § 401.420"
title: "24"
number: "401.420"
heading: "When must the Restructuring Plan require project-based assistance?"
url: "https://uscodex.org/cfr/24/401.420"
---

# §401.420. When must the Restructuring Plan require project-based assistance?


The Restructuring Plan must provide for the [section 8](/cfr/24/8.md) contract to be renewed as project-based assistance, subject to the availability of funds for this purpose, if:

- (a) The PAE determines there is a market-wide vacancy rate of 6 percent or less;
- (b) At least 50 percent of the units in the project are occupied by elderly families, disabled families, or elderly and disabled families; or
- (c) The project is held by a nonprofit cooperative ownership housing corporation or nonprofit cooperative housing trust.

## Notes

### Authority

Authority: 12 U.S.C. 1715z-1 and 1735f-19(b); 42 U.S.C. 1437(c)(8), 1437f(t), 1437f note, and 3535(d).

### Source

Source: 65 FR 15485, Mar. 22, 2000, unless otherwise noted.