Basement Apartment Conversion
Score a no-interest loan to convert your basement into a rentable apartment.
Through the Basement Apartment Conversion Pilot Program, or BACPP, low and middle-income homeowners can get low-or-no interest loans, or forgivable loans, up to $120,000, to convert their basement or cellar into a rentable apartment.
For now, the pilot is only available to eligible owners of one-to-three family homes in East New York and Cypress Hills, Brooklyn.
Are you eligible for a loan through the Basement Apartment Conversion Program Pilot?
Enter some basic information and we’ll do a little research to find out if you and your space might qualify for a loan through the Basement Apartment Conversion Program. Expect a response within 48 hours.
More About the Basement Apartment Conversion Program
Recent changes to NYC building and fire codes make it legal for landlords to build and rent out basement apartments. The Basement Apartment Conversion Pilot Program helps create safe housing and helps owners generate extra income.
To qualify as safe, legal rentals, the basements must meet certain criteria for minimum ceiling heights, emergency escape routes, and other key features. Properties going from two-to-three units, or three-to-four units, must comply with regulations established by the Multiple Dwelling Law.
The Basement Apartment Conversion Pilot Program provides financing and technical assistance to help owners complete their construction projects.
Eligible Homeowners
Own a one-, two-, or three- unit home in East New York or Cypress Hills (Brooklyn Community District 5)
Have a home that is not a flood risk according to this map - https://www.nyc.gov/assets/hpd/downloads/pdfs/services/bacpp-map.PDF
Stay in the home as their primary residence (at least 270 days a year)
Earn less than 165% of the Area Median Income based on their family size
Note: Preference will be given to homeowners at or below 100% of the Area Median Income – check the AMI chart.
Is your property eligible for the Basement Apartment Conversion Pilot Program?
Enter some basic information and we’ll do a little research to find out if you and your space might qualify for the Basement Apartment Conversion Pilot Program. Expect a response in 24 - 48 hours.
Frequently Asked Questions
What is the point of the Basement Apartment Conversion Pilot Program?
The Basement Apartment Conversion Pilot Program has two main goals:
Give homeowners a way to make extra income and support
Expand the inventory of safe, affordable housing in key areas
What does the Basement Apartment Conversion Pilot Program do for homeowners?
The program provides eligible homeowners with low-or-no interest capital loans and construction financing grants so they can create an additional, rentable unit.
Who administers the Basement Apartment Conversion Pilot Program?
The Basement Apartment Conversion Pilot Program is administered by the New York City Department of Housing Preservation and Development (HPD), in partnership with Cypress Hills Local Development Corporation, a local non-profit.
How do I know if I qualify for the Basement Apartment Conversion Pilot Program?
Your space must meet certain zoning requirements, and your income can’t exceed certain limits. Your property must also pass a housing quality inspection.
If you want help determining your eligibility or preparing it for an inspection, we've got you. At no cost! Let's talk.
Want us to handle the paperwork?
Enter some basic information and we’ll do a little research to find out if you and your space might qualify for the Plus One ADU program. Expect a response within 48 hours.