General Investor Information

The Department’s Community Development Administration obtained legislative authority to issue bonds to fund loans for business projects effective July 1, 2016. A business project is broadly defined and qualifies if it is located in a priority funding area as defined in section 5-7B-02 of the State Finance and Procurement Article, and is acquired, owned, developed, constructed, reconstructed, rehabilitated or improved for the purposes of carrying on a business, whether or not for profit. Some of the qualified business projects are also located in traditionally underserved areas defined as Sustainable Communities. The project types include, but are not limited to, acquisition and permanent financing of commercial and mixed use real estate; refinance of stabilized commercial and mixed use projects; non-profit facility loans for acquisition, rehabilitation and new construction of facilities for occupancy and/or use by qualified nonprofit organizations. The Business Lending Investor Package - PDF - 592.55 KB - PDF - 592.55 KB provides more detailed program description.

Housing Revenue Bonds (HRB), issued under a parity bond resolution created in 1996, finances primarily multi-family housing (the portfolio also includes some single family loans and group home loans). Multi-family loans financed in this resolution are credit enhanced by FHA (multi-family insurance and risk-sharing), FHLMC (re-insuring Maryland Housing Fund), GNMA, FNMA, and the Maryla​nd Housing Fund, an insurance fund of the Department. Four loans are uninsured as of 6/30/2014.

Multi-Family Mortgage Revenue Bonds (MFMRB), issued under a parity bond resolution and created in December, 2009, finances primarily multi-family housing. This indenture was created as a result of the U.S. Treasury’s New Issue Bond Program. Multi-family loans financed in this resolution are credit enhanced by FHA (multi-family insurance and risk-sharing), FHMLC, GNMA, FNMA and the Maryland Housing Fund, an insurance fund of the department. The bonds were issued as taxable, variable rate until proceeds are drawn and converted to tax-exempt fixed rate when new projects are financed.

Residential Revenue Bonds (RRB or the "1997 Resolution") finance the purchase of eligible single family mortgage loans from approved mortgage lenders. Currently loans are insured by FHA, VA, USDA/RD (RHS) and private mortgage insurers. These bonds are issued under a parity indenture created in 1997.

Single Family Housing Revenue Bonds, issued under a parity indenture and created in December 2009, will finance primarily single family housing. This indenture was created as a result of the U.S. Treasury’s New Issue Bond Program. Single family loans financed in this resolution will be credit enhanced by FHA, VA, and USDA/RD (RHS). The bonds were issued as taxable, variable rate until proceeds are drawn and converted to tax-exempt fixed rate when new single family homes are financed.

Infrastructure Financing Bonds provide a way for local governments to finance physical elements that constitute the public service system. The bonds finance loans to local governments (the "Loans"). Primarily, the bonds are credit enhanced with bond insurance. In 2002, the Community Development Administration created the parity bond resolution, Local Government Infrastructure Bonds (Ambac Insured). In 2010 the Community Development Administration created the newest indenture for local government financing called the Local Government Infrastructure Bonds. Security for these bonds is a pledge of and lien on proceeds of the sale of bonds, all local obligations acquired by the Community Development Administration, Community Development Administration’s right, title and interest in all Infrastructure loans, all revenues and prepayments and pledged funds.

The Administration has bonds outstanding under separate "stand-alone" indentures. Financing multifamily projects and secured solely by the revenues of the projects and supported by credit enhancement, the Administration has issued Multifamily Development Revenue Bonds and Multifamily Development Revenue Refunding Bonds. The Administration has also issued Draw Down Mortgage Revenue Bonds to preserve bond authority and to reduce negative arbitrage. Additional information about "stand-alone" bonds is contained in the Community Development Administration, Revenue Obligation Funds Financial Statements​. These financial statements are filed with the Electronic Municipal Market Access System.

In December, 2003, the Administration issued Capital Fund Securitization Revenue Bonds to provide funds to public housing authorities. These Public Housing Authorities in turn pledge part of monies from the U.S. Department of Housing and Urban Development's Capital Fund Program payable to the Public Housing Authorities to repay the bonds. These bonds are insured by Financial Security Assurance, Inc.