The qualified project period starts at 10 percent occupancy and ends on the latest of three events

bond.affordability_period.qualified_project_period · v1.0.0

The qualified project period begins on the first day on which 10 percent of the residential units in the project are occupied, and ends on the LATEST of (i) the date 15 years after the date on which 50 percent of the residential units in the project are occupied, (ii) the first day on which no tax-exempt private activity bond issued with respect to the project is outstanding, or (iii) the date on which any assistance provided with respect to the project under section 8 of the United States Housing Act of 1937 terminates. This clock is not the section 42 clock. It starts at an occupancy event rather than at placed-in-service or at the start of the credit period; it has no fixed end date, because two of its three closing conditions depend on facts outside the property (bond redemption, Section 8 contract termination); and it can outlast or fall short of the fifteen-year section 42 compliance period on the same building. A bond project period cannot be computed from a Form 8609.

Confidence

high

Effective from

1986-10-22

Last reviewed

2026-08-30