§ 1106-d. Selection of eligible applicants for grants or loans under
this article. 1. Prior to providing grants or loans to an eligible
applicant pursuant to this article, the corporation shall determine
that:

(a) eligible applicants can demonstrate by their past performance or
other objective factors, that they are able to complete a
turnkey/enhanced rental project in a timely, efficient and cost
effective manner;

(b) the turnkey/enhanced rental project will be managed by an eligible
owner or other entity who can demonstrate by its past performance or
other objective factors that it is capable of effectively managing such
a project for the benefit of persons of low income; and

(c) the eligible applicant shall not borrow any funds for the project
without the prior approval of the corporation.

2. In selecting eligible applicants who will obtain grants or loans
pursuant to this article, the corporation shall give preference to
proposals for turnkey/enhanced rental projects which:

(a) will be located in an area which is experiencing a severe shortage
of affordable housing for persons of low income;

(b) will be located in a municipality which will utilize steps to
simplify or expedite processing, where applicable;

(c) will result in the greatest number of quality units and the lowest
costs per unit; and

(d) will rehabilitate or construct small scale, low rise buildings.