Missing Middle Housing Program

The Missing Middle Housing Program (“MMHP”) is a housing production program designed to address the general lack of attainable housing and the housing challenges underscored by the COVID-19 pandemic by increasing the supply of housing stock to support the growth and economic mobility of employees by providing cost defrayment to developers investing in, constructing, or substantially rehabbing properties targeted to Missing Middle households. MMHP is funded by State appropriated American Rescue Plan (ARP) Funds from the U.S. Department of the Treasury. $50 million of ARP funding was initially dedicated in March of 2022, with an additional $50 million of ARP funding in January 2023, for a total of $100 million dedicated to the Missing Middle Housing Program. 

Missing Middle grants are designed to help reduce construction costs by funding gaps in eligible projects.  The grant amount is limited to the actual labor and material cost of the construction or rehabilitation with a maximum award of $80,000 per unit for projects of less than 12 units (i.e. 11 units or less) and $70,000 per unit for all others.  Each geographic partnership region throughout the state will receive a minimum amount of funding as shown to the chart located at Tab E – Housing Partnership Regions.

There are two rounds for eligible developers to apply for funding.  Round 1 closed on December 30, 2022 and Round 2 opens March 20, 2023.      

NOTE: At this time there is no Round 3 planned. Please watch this page for updates should funding become available.

Round 1 Awards are now reflected on the same award log as Round 2 - see link below

Round 2 Regional Funding Availability - as of March 16, 2023

Round 1 and Round 2 Awards and Application Rankings - as of September 8, 2023

Interested parties and applicants should first read and be familiar with the Missing Middle Housing Program Plan (linked below) as it is the governing document for the Missing Middle Housing Program and details the key program requirements.

Inclusive Design within the Missing Middle Program

MSHDA encourages the building of more accessible and adaptable housing with Missing Middle funding. Based on CDC data Michigan has a 26% disability rate among adults, meaning one out of every four adults in Michigan has a disability, with 12% being mobility, 5% hearing and 3% vision. The older adult population in the state is growing and so is the need to build housing designed to age in place. Investing in accessible and adaptable housing within the Missing Middle Program will address these demands and further equitable housing opportunities. For Missing Middle requirements, refer to Tab J - Missing Middle Inclusive Design Requirements. 

Missing Middle Housing Program Plan
Missing Middle Housing Program FAQ 

How to Apply: Round 2 is now closed. 

Missing Middle Program Checklist

This Missing Middle Program Checklist is a developer’s roadmap to all the documentation that needs to be submitted as part of applying for the Missing Middle program.  Applicants should use this checklist to ensure they are submitting all necessary documentation when applying for Missing Middle funding.

Missing Middle Housing Program Checklist

Missing Middle Application

The Missing Middle Application document is submitted as part of an application package for Missing Middle funding and communicates to MSHDA important facts and information describing the Missing Middle project being proposed. 

Missing Middle Application

Missing Middle Pro-Forma

These spreadsheet pro-forma templates should be filled out and submitted by applicants as part of the application submission.  They communicate to MSHDA how the project will be financially feasible and achieve completion with the sources that are available.  

Missing Middle pro-forma for projects with for RENT units
Missing Middle pro-forma for projects with for SALE units 

Missing Middle Program Policies, Links, and Documents

The following Tabs contain additional policies, links, and documents that applicants will need to be aware of and utilize as part of the Missing Middle Program.  

• Tab A - Missing Middle Trade Payment Breakdown
• Tab B - Missing Middle EEO Policy - EEO Policy Statement & Appendix for Construction Contract 
• Tab C - Missing Middle Affirmative Fair Housing Marketing Plan (AFHMP)  
  • Narrative Instructions 
  • AFHMP Fillable Forms 
• Tab D - Missing Middle Financial Capacity
• Tab E - Housing Partnership Regions
• Tab F - Income, Rent and Sale limit Information
  • Missing Middle Income Charts can be found here:  Income Rent and Utility Limits (michigan.gov)
  • Missing Middle Tenant Income Certification and Owner Certification Compliance Forms can be found here: Compliance Forms (michigan.gov)
  • Rental Utility Schedules (choose “Utility Schedules Regions A-D”):  LIHTC Utility Allowances (michigan.gov)
• Tab G - Missing Middle Environmental Requirements NOTE: all applicants must complete environmental checklist
• Tab H - Missing Middle Underwriting Standards 
• Tab I -  Missing Middle Compliance Policies can be found here - Compliance Monitoring Policy Bulletins (michigan.gov)
• Tab J - Missing Middle Inclusive Design Requirements
• Link to Rural Development site to determine if location is considered Rural: Single Family Housing Eligibility Assessment (usda.gov)
  
  • Select 'Property Eligibility' tab, accept terms and enter your project address
• Tab K - Davis Bacon Requirement Information 
  • Example of how to interpret Davis Bacon Wage Benefit Charts

Forms and Resources for Missing Middle Award Recipients

Award Commitment - What’s Next? Checklist
Background and Credit Check Authorization Form
Prevailing Wage Certification Form
Waiver of Wages Form (for on-site volunteers)
Authorization to Release Information
Administrative Expense Report
Information Regarding Reimbursement - coming soon

Relevant to For Sale Units only:

Beneficiary Compliance Agreement
Deed Restrictive Covenant

Relevant to Rental projects only:

Regulatory Agreement

Questions?  You can contact us at: MSHDA-MissingMiddle@michigan.gov