The attorney general’s Abandoned Housing Initiative is offering grants of up to $25,000 to municipalities for the demolition of severely blighted and vacant residential properties.

The program also provides for additional grants of up to $25,000 toward affordable housing projects built on the property following demolition.

The Strategic Demolition Fund helps municipalities, nonprofits and other organizations with the reuse of properties that are in such a state of disrepair that their rehabilitation would be economically infeasible.

Grant awards are not to exceed 50 percent of the project’s total eligible demolition costs.

Non-residential demolition may also be considered for funding when the post-demolition redevelopment plan includes the construction of affordable or market-priced residential housing.

Applications will be accepted on a rolling basis through June 30, 2019, and again from July 1 through Dec. 31, 2019. Up to $125,000 is expected to be available during each application period.

The program uses funds recovered by the Attorney General’s Office through a nationwide state-federal settlement resolving allegations that certain banks engaged in unlawful foreclosure practices on residential properties in Massachusetts.

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