Rental Assistance Demonstration (RAD)


RAD was created to give public housing authorities (PHAs) a powerful tool to preserve and improve public housing properties and address the huge nationwide backlog of deferred maintenance. RAD also created new preservation opportunities based on long-term assistance contracts that facilitate the financing of improvements, to assist owners of properties participating in seven other HUD programs, three of which are currently active (Section 8 Moderate Rehabilitation, Moderate Rehabilitation Single Room Occupancy, and Section 202 Project Rental Assistance Contracts). Properties assisted through the Section 811 Project Rental Assistance Contracts and Senior Preservation Rental Assistance Contracts will be able to convert through RAD upon publication of implementing guidance. Properties previously assisted through the Rent Supplement and Rental Assistance Payments programs have all converted, so those programs no longer exist.

 

Five Things You Should Know About Public Housing Conversions

  1. RAD allows PHAs to leverage public and private debt and equity in order to reinvest in the public housing stock. The backlog of public housing capital needs is estimated to be $115 billion when analyzing the approximately 300 RAD transactions that closed over the last three years.
  2. In RAD, units move to a Section 8 platform with a long-term contract that, by law, must be renewed in perpetuity. A Use Agreement is also recorded under RAD further enforcing HUD’s long-term interest. This ensures that the units remain permanently affordable to low-income households.
  3. Residents benefit from a right of return, a prohibition against re-screening, and robust notification and relocation rights. Residents continue to pay 30% of their adjusted income towards the rent, maintain the same basic rights as they possess in the public housing program, and gain a new option to request tenant-based assistance if they wish to subsequently move from the property.
  4. RAD maintains the ongoing public stewardship of the converted property through clear rules requiring ongoing ownership or control by a public or non-profit entity.
  5. RAD is cost neutral, relying on shifting existing levels of public housing funds to the Section 8 accounts as properties convert.

 

Connect with Us

RAD for public housing office hours are intended to be a forum for Public Housing Authorities (PHAs) and other stakeholders interested in using RAD or RAD/Section 18 Blends to learn more about how to recapitalize their public housing properties. Join us to talk with program experts and get advice and feedback. Office hours are open to all, and no registration is required. The next office hours session will be held on Tuesday, January 14, 2025 at 1:00 – 2:00 pm ET at this Teams link.  We hope to see you there!

Join Us for RAD Public Housing Office Hours

 

RAD Highlights

  • HUD published Rental Assistance Demonstration (RAD) Supplemental Notice 4C (H-2025-01/PIH-2025-03, Rev 4-C), which primarily impacts public housing properties that have converted or will convert to the Section 8 platform through RAD.  To familiarize industry partners with these new policies and ensure seamless integration across operations, we invite you to participate in a live webinar on January 17, 2025 at 2 PM ET where we will provide an in-depth overview and provide an opportunity to ask questions and share feedback. The webinar will also be recorded and posted here on RAD's Statute, Notices and Tools page.
  • The Rental Assistance Demonstration (RAD) program recently hit another milestone – $20 billion in total construction investment. Visit our Newletter web page to view the video and read the letter from our Director celebrating this occasion. 
  • Announcing "Restore-Rebuild" - the new chapter for Faircloth-to-RAD! Check out the lastest RADBlast! for details about our excitement over this new tool. For more information on Restore-Rebuild visit the new web page: https://www.hud.gov/rad/restorerebuild. 
  • Latest RAD Press Release! HUD Delivers Over $37 Million to Build and Preserve Affordable Housing in Reno, Nevada. Read the press release for more information.
  • RAD in the News! The New York Times published, "Radical Plans for Public Housing Stir Up Hope, and Doubt," an article about Fulton House, a New York City Housing Authority (NYCHA) development in the wealthy Chelsea neigborhood of Manhattan. Visit our RAD in the News web page for details.  

 

RAD More Information

  • Want to know more about how RAD preserves affordable housing? Read our 2-pager, "Rental Assistance Demonstration: An Overview,” on how the RAD program works.
  • For guidance related to Multifamily policies to owners (including Public Housing Agencies) who will be or have previously converted their projects to Section 8 Project-Based Rental Assistance (PBRA) authorized under RAD, visit the RAD PBRA Post Closing web page.
  • RAD for PRAC training videos are available. For more information visit our web page.
  • Looking for a Notice, Quick-Reference Guide, or another RAD Tool? Visit our RAD Statutes, Notices, Regulations & Tools web page for more information.
  • RAD data is available to the public. Visit the RAD Resource Desk and click on “Data and Resources.”
  • RAD Photo Essays documents a series of resident experience for properties that go through a RAD conversion.
  • The RADBlast!, an electronic communication sent to subscribers of our mailing list is now available online.
  • Contact us: RAD for Public Housing (rad@hud.gov) or RAD for Multifamily Housing (rad2@hud.gov).