D.C. Code tit. 42 § 42-3508.04
Distressed properties improvement program.
Operative Text
(a) The Mayor may establish and administer a distressed property improvement program to assist those housing accommodations which meet the requirements of § 42-3501.03(9) . (b) The distressed property improvement program may include any or all of the following: (1) A 5-year deferral or moratorium on real property taxes; (2) Deferral or forgiveness of water and sewer charges in arrears; (3) Deferral or forgiveness of tax liens; (4) Deferral or forgiveness of any indebtedness owed to the District; (5) Low-interest or no-interest loans; and (6) Financial grants. (c) Nothing in subsection (b) of this section or this subchapter shall be construed as creating a right or entitlement for any housing provider or other person. (d) Distressed properties and new or rehabilitated vacant rental housing under §§ 42-3508.02 and 42-3508.03 shall have priority over other properties for participation in the Tenant Assistance Program so long as the tenants who reside in distressed property and who receive assistance from the Tenant Assistance Program are doing so consistent with the provisions of § 42-3503.03(c) .
D.C. Code § 42-3508.04 authorizes the Mayor of the District of Columbia to create and run a distressed property improvement program aimed at housing accommodations that qualify under the statutory definition of 'distressed.' The program may offer a range of financial relief tools—such as property tax deferrals, forgiveness of water and sewer arrears, loan assistance, and grants—though the law explicitly states that none of these tools create a legal right or entitlement for any housing provider or individual. Qualifying distressed properties and certain vacant rental housing are also given priority access to the Tenant Assistance Program, provided tenants participate in accordance with the conditions set out in § 42-3503.03(c).
Plain English — not legal advice.
Property owners managing housing accommodations that meet the District's definition of 'distressed' under § 42-3508.04 may be eligible to apply for relief through the Mayor's distressed property improvement program, which can include tax deferrals, debt forgiveness, and low- or no-interest loans. Compliant operators typically document their property's qualifying status and engage proactively with the relevant District agencies to understand available program offerings. Because § 42-3508.04(c) makes clear that participation is discretionary and not an entitlement, operators generally treat program benefits as supplemental support rather than guaranteed relief.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under D.C. Code § 42-3508.04(d), tenants living in distressed properties or qualifying rehabilitated vacant rental housing receive priority consideration for the District's Tenant Assistance Program, as long as their participation aligns with the requirements of § 42-3503.03(c). Tenants who believe their building qualifies as distressed may want to learn more about the Tenant Assistance Program through the District's housing agencies or a local tenant-rights organization. General enforcement paths can include raising eligibility questions with the administering agency or seeking guidance from a nonprofit housing counselor familiar with District rent regulations.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 14, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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