Neighborhood Redevelopment Assistance Programs
Commercial/Economic Development
Section 108 Loan Program
This is a low-interest, HUD-funded loan program, which is available for a limited time. The loan is designed to assist business owners with the development or expansion of a business within the designated Neighborhood Revitalization Strategy Area (NRSA), which encompasses the downtown area and parts of the near east side of Aurora. The borrowed funds can be used for acquisition, demolition, new construction, rehabilitation, equipment purchase, inventory or even working capital. The amount of the loan is in proportion to the number of new full-time equivalent jobs, which are created. Moreover, the newly created jobs must be made available, first to residents of the NRSA.
Neighborhood Revitalization Strategy Area (NRSA) Map
Home Owner Maintenance Empowerment (HOME) Program
Eligible City of Aurora residents may receive a grant of up to $5,000 for home maintenance improvements to correct deficiencies in their home. The applicant must be the owner-occupant of the property or get the owners written approval for ADA modifications. Income eligible residents may receive assistance with the following repairs:
- Mechanical systems
- Electrical upgrades
- Plumbing improvements
- Roof repairs
- Americans with Disabilities Act (ADA) modification
Reconversion Incentive Program
The City provides financial incentives and assistance per unit removed as long as the structure is restored to its original use. The removal of the first unit is eligible to receive $28,000; removal of a second unit would be eligible for an additional $25,000 for the second; and a third unit, $22,000. Maximum assistance, per parcel, is $75,000. Requests for waiving the maximum or the reduction of a property to original use will be considered on a case-by-case basis. Priority is given to applications that can show a significant impact on the neighborhood by the reconversion activity. The grant is designed to subsidize the costs associated with the reconversion and loss of rental income. An IRS form 1099 will be issued by the City of Aurora.
Social Service Program Support
Grant Cycle
Annually, CDBG funds are made available to the City of Aurora to help meet the needs of our community. Local social service agencies, which provide public services, are eligible to apply for a portion of the City of Aurora’s allocated funds during the Aurora Funders’ Consortium grant application cycle, late October through early January. As members of the Consortium, DNR staff members determine which programs to support with the available dollars. Social service providers can also receive CDBG dollars to perform necessary rehabilitation projects.
First-Time Homebuyers Programs
The Assist Program gives first-time homebuyers the opportunity to buy a home by providing a lower-rate interest plus monies for down payment and/or closing cost assistance. A list of participating lenders is available.
Mortgage Credit Certificate Program
The Mortgage Credit Certificate Program provides first-time homebuyers with a credit on their income taxes equal to one-fourth of the interest paid in each year for the life of the mortgage. Maximum annual credit is $2,000. A list of participating lenders is available.
Real Estate Transfer Tax
The City of Aurora will refund its portion of the real estate transfer tax to the buyer, who is a participant in the Assist Program or the Mortgage Credit Certificate (MCC) Program and who purchases property in one of the City’s targeted neighborhoods. This is a seller expense but a buyer’s benefit, which averages around $200 after closing.