Statement from DHCD on Passage of Bill to Support Talbert Street Homeowners

(Washington, DC) – RealEstateRama – The Council of the District of Columbia passed the “Relief for River East at Grandview Condominium Owners Emergency Act of 2024,” which includes critical supports for homeowners of River East at Grandview Estates, also known as Talbert Street. This legislation, introduced by Councilmember Robert White and developed in close coordination with the Executive Office of Mayor Muriel Bowser, the Department of Housing and Community Development (DHCD) and the Office of the Deputy Mayor for Planning and Economic Development (DMPED), provides homeowners additional financial assistance, including a pathway to purchasing a new home in the District of Columbia.

Following passage, DHCD Director Colleen Green issued the following statement:

“Today, the District is taking crucial action to support Talbert Street homeowners in becoming whole. Despite the circumstance being a private matter, Mayor Bowser’s mission over the past three years has been to find unique ways in which we could support their recovery. We know the ultimate dream of so many District residents is to become a homeowner, and our goal as a government is to create pathways toward its fruition. We will continue working with these residents to find new opportunities.”

The legislation outlines the following core elements and next steps:

• Grantmaking authority for DHCD to enter into an agreement with the Neighborhood Assistance Corporation of America (NACA), a leader in community-led housing innovations, to provide a mortgage solution for the homeowners to be able to purchase a new home in the District of Columbia.
• Support for homeowners who wish to continue to rent rather than pursue homeownership.
• Financial assistance for homeowners to move from their current accommodations into these new homes.
• Tax relief for the homeowners to be able to buy a new home without being negatively impacted by their experience.
• Forgiveness of Housing Production Trust Fund loan or Home Purchase Assistance Program loans for the property. The Act permits the homeowners to apply for HPAP assistance, contingent upon funding availability, even if their income has shifted since buying the condominium units.
• Greater flexibility and priority for homeowners for non-lottery sale or rental units through the Inclusionary Zoning Program administered through DHCD.
• Additional financial support for the condominium association who has been a key partner towards resolution of the homeowners.

The Bowser Administration has shown support for the Talbert Street residents throughout this challenging process. The Talbert Street Task Force was established in September 2021 to help homeowners navigate their insurance claims, address their relocation needs and preserve their ability to access first time homebuyer assistance.

As of January 2024, Talbert Street homeowners have received nearly $4M in rental and utility assistance via the Department of Human Services (DHS) to support their temporary living situations. DHCD has led the negotiations with the first trust lenders of the Talbert Street homeowners, encouraging those lenders to forgive their 1st trust mortgages made to the residents.

DHCD played an integral role in negotiations with the Neighborhood Association Corporation of America (NACA) to source new home purchase financing and have met regularly with Talbert Street homeowners during the course of this process and will continue to engage through this next phase towards resolution.