Amount Based on Replacement Cost. The applicable percentage of the estimated replacement cost for new construction or the applicable percentage of the estimated replacement cost for substantial
rehabilitation (which includes the “as is” value of the property before substantial rehabilitation) is:

1. 90% for projects with 90% or greater rental assistance;
2. 87% for projects that meet the definition of Affordable Housing and for which the achievable Tax Credit rents are at least 10% below market rents; or
3. 85% for market rate projects or Tax Credit projects without a significant rent advantage (i.e., the achievable rents are at least 10% below market.).