; and (B) costs related to outreach and consultation with residents of distressed multifamily housing projects and other community stakeholders. (d) Loan terms and conditions (1) Eligibility Owners or sponsors of multifamily housing projects who meet each of the following requirements shall be eligible for loan assistance under this section: (A) The multifamily housing project, including any project from which assistance has been approved to be transferred has deficiencies that cause the project to be at risk of physical obsolescence or economic nonviability. (B) The actual rents received by the owner or sponsor of the distressed property would not adequately sustain the debt needed to make necessary physical improvements. (C) The owner or sponsor meets any such additional eligibility criteria as the Secretary determines to be appropriate, considering factors that contributed to the project’s deficiencies. (D) The owner or sponsor agrees to extend or establish an affordable housing use agreement for 30 years and agrees to accept a renewal of a housing assistance payments contract in any year in which a renewal is offered by the Secretary. (2) Use of loan funds Each recipient of loan assistance under this section may only use such loan assistance for eligible uses, as determined by the Secretary, to result in necessary physical improvements. (3) Loan availability The Secretary shall only provide loan assistance to an owner or sponsor of a multifamily housing project when such assistance, considered with other financial resources available to the owner or sponsor, is needed to make the necessary physical improvements. (4) Interest rates and length Loans provided under this section shall bear interest at 1 percent, and at origination shall have a repayment period coterminous with the affordability period described in paragraph (1)(D), with the frequency and amount of repayments to be determined by requirements established by the Secretary. (5) Loan modifications or forgiveness With respect to loans provided under