Commercial Space and Community Service Facility Form
Updated: April 2026
Instructions: This form is required for applications that have Commercial Space and/or a Community Service Facility incorporated in the project. The applicant must provide sufficient information to assist Minnesota Housing’s understanding of the Commercial Space’s and/or Community Service Facility’s impact to the housing development, such as the closing timeline, owner/sponsor capacity and on-going operation of the building.
Minnesota Housing finances housing developments. Projects selected for funding are expected to close within 12-18 months of selection. Applicants must demonstrate that the housing and Commercial Space and/or Community Service Facility will be financed separately. Development costs from Commercial Space cannot be included in the Multifamily Workbook.  
Minnesota Housing funding including housing tax credits and tax-exempt limited bonds cannot provide any capital to support Commercial Space. Generally, Community Service Facilities are not eligible for Minnesota Housing financing. The Housing Tax Credit (HTC) program will allow for the cost of a Community Service Facility to be included in eligible basis if the project is in a qualified census tract, and only costs within IRS limits. Refer to the Qualified Allocation Plan for additional information. Minnesota Housing deferred funding and tax-exempt limited bonds cannot be utilized for the cost of Community Service Facility construction.  
Definitions
•	Commercial Space: non-housing space that serves non-residents and does not meet the definition of Community Service Facility, as determined by the sole discretion of Minnesota Housing. Examples of Commercial Spaces include, but are not limited to: an emergency shelter, retail space, and administrative offices for the owner or sponsor.  
•	Community Service Facility: a facility that is part of the qualified low-income housing project and is designed to serve primarily individuals, including tenants and non-tenants, whose income is 60% or less of area median income. Refer to the Qualified Allocation Plan, Chapter 3, section K for details. 
•	Common Space for Tenants: non-housing space available to all tenants at no charge such as: community room, fitness room, leasing office and/or offices utilized by the  supportive service provider. (This form is not applicable to common space for tenants.)
Note: Common Spaces for Tenants and Community Service Facilities are not the same. In the Workbook, correctly complete cells G31 and G33 of the Property Information tab and cells G21 and G23 of the HTC Info tab.  
Non-housing facilities or elements that are functionally related to the project, but charge tenants an additional fee for use are not eligible for tax credits.    
Project and Ownership Information
1.	Property Name:      
2.	D#:      
3.	Project includes: 
4.	The Commercial Space will be legally separated from the housing space by a:  
5.	Entity or individual responsible for the commercial ownership entity:      
6.	Entity responsible for initial leasing, on-going leasing and/or property management of the space:      
7.	Share why the Commercial Space and/or Community Service Facility is part of the housing development (e.g. required by the city/master plan, community feedback).
     
Capacity Information
1.	If the owner/sponsor of the housing development is also responsible for initial or on-going commercial operations, describe the sponsor’s experience operating Commercial Space(s) or a Community Service Facility.   
     
2.	If the space is for the sponsor’s administrative offices, how will the on-going cost of the new space compare to the costs for the sponsor’s current space? If the cost is larger, how will this impact the sponsor’s financial health? 
     
Construction Budget and Sources 
Stated in the instructions section, development costs from Commercial Space cannot be included in the Multifamily Workbook. Share the following Commercial Space and/or Community Services Facility budget and sources information. 
	Entity Name and Program Sources 	Source Type	Amount	Status	Date committed	
1	     		$      		     	
2	     		$      		     	
3	     		$      		     	
4	     		$      		     	
5	     		$      		     	

1.	Describe how the costs were determined. Provide details on the methodology, cost justification and calculations for overall cost, including shared parking, common spaces, utilities, etc.       
2.	For Community Services Facility: Detail any construction costs that are not in basis or not covered by syndication proceeds. Share the method in how the costs were separated and which source(s) will cover those costs?
     
3.	If the construction budget in the table above includes fundraising or a capital campaign by sponsor, provide the average amount of annual sponsor fundraising for the last two years.  If the amount expected to be raised is greater than typical annual fundraising, how will this be achieved? 
     

Commercial Space and/or Community Service Facility Details
Complete the table with details on the Commercial Space and/or Community Service Facility. This table will provide information regarding the Commercial Space and/or Community Services Facility intended use, ownership structure and operations.
	Planned Use(s)	Total Sq/Ft	Leased 	Additional Notes, e.g. existing agreements, lease terms, etc.	
1	     	     			
2	     	     			
3	     	     			
4	     	     			
5	     	     			

1.	Will any operating costs impact the housing projects expenses?  If yes, explain.      
2.	How will utilities shared with the housing space be paid for before and during lease up?