Property Zoning/Transfer of Development Rights
Job-aid
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Drawer AM Job Aids
- Achievement and Other Collateral Agreements: Extensions
- Achievement and Other Collateral Agreements: Release or Reduction
- Casualty Losses
- Commercial Lease Requests
- Completion/Repair and Security Agreement Extension Requests
- Condemnation Requests
- Condominium Conversion Requests
- Easement Requests
- FHA Loss Sharing Termination
- Guaranty Agreement Extension
- Guaranty Agreement Releases
- Partial Collateral Releases
- Property Renovation/Conversion Request
- Property Zoning/Transfer of Development Rights
- Subordinate Financing
- Other Requests
The borrower may not sell air rights or make any changes to the property zoning without prior approval of Fannie Mae.
The table below lists the key points to consider in reviewing a request for property zoning changes or the transfer of development rights.
Guide Reference |
Not Applicable |
Delegation Criteria |
Fannie Mae must approve all requests for property zoning/transfer of development rights. |
What to Submit |
Submit the following to Fannie Mae with your request:
|
How to Submit |
Generally: [email protected]. Structured Facilities* Seniors Housing*: [email protected] Hard Copy (if required by Fannie Mae) *Please contact us at these e-mail addresses for requirements specific to these financing types. |
Fees |
To be determined by Fannie Mae. Wire any fees due to Fannie Mae to the following account no later than 10 business days after you receive them. Include the type of fee or deposit, property name and Fannie Mae loan number. ABA Number: 021 039 500 |
Use of Funds |
Any compensation received by the borrower in connection with the zoning change or transfer of development rights may be used as follows:
|
Resolution/Follow-up |
If the request is approved, follow the terms and conditions provided in the Fannie Mae concurrence letter. Prepare and send the necessary documents to Drawer AM for execution. |
Unauthorized Zoning Change or Transfer of Development Rights |
If you become aware that the borrower has undertaken an unauthorized zoning change or transfer of development rights without your prior approval or that of Fannie Mae, follow the same process you would if action had not yet been taken. Immediately send the borrower a Reservation of Rights Letter (Form 4804). Send a copy of Form 4804 to Drawer_AM along with the items listed above under What to Submit. Fannie Mae will decide whether to approve the zoning change/transfer of development rights or to declare the mortgage loan in default. |
Always consult the loan documents, transaction documents, your servicing agreement, the Multifamily Guide and the relevant forms for complete instructions.
© 2011 Fannie Mae. Trademarks of Fannie Mae.