The Secretary may use amounts made available under section
11403h of this title in connection with the moderate rehabilitation of single room occupancy housing described in section
1437f
(n) of this title for occupancy by eligible persons in accordance with this subpart. Amounts available under section
11403h of this title may be used in connection with the moderate rehabilitation of efficiency units if the building owner agrees to pay the additional cost of rehabilitating and operating the efficiency units.