Welcome to the City of Los Angeles Neighborhood Stabilization Program
MERCEDES M. MÁRQUEZ
Housing + Community Investment Department(HCIDLA)
The Neighborhood Stabilization Program (NSP) was established under the Housing and
Economic Recovery Act of 2008 (HERA), which awarded $3.9 billion emergency assistance
funds to states and local jurisdictions heavily impacted by the foreclosure crisis.
In 2009, President Barack Obama signed the American Recovery and Reinvestment Act
(ARRA), which allocated an additional $1.93 billion in competitive grants for a
second round of NSP funds, as stimulus to assist jurisdictions in their recovery
efforts. On September 8, 2010, the U.S. Department of Housing and Urban Development (HUD)
awarded $9.88 million of third round NSP funds to the City of Los Angeles under the recently
enacted Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
The Los Angeles Housing + Community Investment Department (HCIDLA), formally known as the
Los Angeles Department (LAHD) has been awarded $142,740,870 in NSP funds from the US Department
of Housing & Urban Development (HUD), one of the largest allocations made to a single
jurisdiction. HCIDLA has developed an innovative program that uses NSP funds for the acquisition,
rehabilitation and resale of foreclosed residential properties in areas that were hardest-hit
by the foreclosure crisis to help arrest declining home values and revitalize neighborhoods.
The acquired properties are restored, utilizing sustainable building practices and
incorporating responsible “green” building components.
Single family homes are sold to low- to moderate-income homebuyers. Multi-family
properties are sold to local non-profit organizations that in turn rent to low-
to moderate-income tenants. Homebuyers can take advantage of HCIDLA’s purchase assistance
in the form of deferred, subordinate loans for acquisition, down payment, and closing
Yes, these are tough economic times but HCIDLA stands ready to explore new initiatives
and compete for more resources to house Angelenos and stabilize families. We are
committed to intensify our efforts to prevent foreclosures and address the challenges
we now face in our neighborhoods and local communities.