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Article Archives: California
The Corporation for Supportive Housing–Los Angeles: A Fund for Stalled Real Estate
The Corporation for Supportive Housing–Los Angeles (CSHLA) is an affiliate of the Corporation for Supportive Housing (CSH). CSH is a community development financial institution with a mission to provide permanent housing, with support services, to prevent and end homelessness (see “Corporation for Supportive Housing: Helping the Homeless Live With Dignity” in the February 2012 edition of Community Developments Investments). CSH views permanent housing as the most viable means of eliminating homelessness. Affiliates have access to funding for programs from the national organization.
The Los Angeles program has been successful during the last several years with the establishment of three loan funds and the creation of 500 units of supportive housing and 200 units of affordable housing. The most recently established fund, the Los Angeles Supportive Housing Recovery Initiative, has four partners, including the Los Angeles Community Redevelopment Agency, and is targeted at projects that have been stalled as a result of the real estate collapse and reductions in public funding resources. It has been used to reinvigorate more than $8 million in loans for multifamily supportive housing developments and is a model for reviving a frozen market. The fund, however, still needs more investors.
For more information regarding the fund and other CSHLA programs, contact Neil McGuffin, Senior Program Manager, at email@example.com.
Community Services Unlimited: Bringing Quality Food to Los Angeles at Affordable Prices
Community Services Unlimited (CSU) is a community-based nonprofit organization that serves South Central Los Angeles with several programs that promote equitable, healthful, sustainable, and self-reliant communities. One of CSU’s most successful programs is the Village Market Place. Much of South Central Los Angeles is considered to be a “food desert” with limited sources of fresh food and an overabundance of fast-food operations. CSU conducted a community food assessment in 2003 that found that the primary obstacles to healthy food habits in the area are high cost and limited transportation. The organization then set out to implement a distribution program that would provide high-quality food at affordable prices locally. The result of CSU’s efforts is the Village Market Place.
The Village Market Place, which sells and distributes healthy food grown on its urban mini-farms or by local farmers, comprises two Community Farm Stands and the Farm Fresh Produce Bag program. The Produce Bag program provides bags of food at affordable prices to residents and others who subscribe and pay in advance for fresh fruit and vegetables weekly. Subscribers pick up their bags at the Farm Stands or at other designated locations each Thursday.
CSU also provides classes in gardening at its urban farm sites for residents and local schools. In addition, it offers internship programs for local at-risk youth at the secondary and post-secondary levels, providing management and financial education skills along with its core healthy-food curriculum. CSU recently expanded the Village Market Place to two new locations, a county hospital and a large health clinic. The expansion allowed the organization to reach even more residents.
CSU is now soliciting support for the purchase of electronic benefits transfer machines to enable low-income customers to make purchases with Supplemental Nutrition Assistance Program debit cards.
For more information regarding CSU, contact Executive Director Neelam Sharma at firstname.lastname@example.org.
San Joaquin Valley Small Business Partnership
Seeking to leverage funding, Wells Fargo provided a $1 million equity-equivalent (EQ2) investment to the Fresno Regional Foundation, an organization in existence since 1966 that provides leadership and a strong balance sheet for philanthropic efforts in the Central Valley. The foundation in turn invested the funds in the Valley Small Business Development Corporation, one of California’s 11 Small Business Financial Development Corporations, to further capitalize its Direct Small Business Loan Program. The program provides loans to small businesses and farms throughout the Central San Joaquin Valley and in Sacramento, Monterey, and eastern Los Angeles counties.
For more information, visit Valley Small Business Development Corporation or call Stan Tom at (559) 438-9680.
Los Angeles Loan Fund Will Offer Banks Commercial Development Opportunities
The Los Angeles LDC was incorporated in 1995. It is known for its expertise in SBA 504 loans, direct small business loans, commercial real estate loans, and facilities loans to nonprofits. The organization launched the first 504 ACE Loan Fund in 2004, a $10 million fund whose investors included several of the largest financial institutions in Southern California.
For more information, e-mail Michael Banner, or call (213) 362-9113.
Stabilizing Communities Series in California Provides REO Information
For more information, contact Susan Howard at email@example.com; Lena Robinson at firstname.lastname@example.org; Melody Winter-Nava at email@example.com; or Daryl Rutherford at firstname.lastname@example.org.
Los Angeles County Housing Innovation Fund
CSH and Wells Fargo (an investor in the fund) are providing underwriting, documentation, and reporting to participating financial institutions. CSH will underwrite acquisition and predevelopment loans for supportive housing projects using the monies in the fund. Although the first fund has closed, other funds will be considered in the future. E-mail Ruth Teague of CSH for more information.
Small Loans, Big Returns
Headquartered in Milwaukee, WtW makes its loans from 43 offices in 21 states: California, Delaware, Florida, Hawaii, Illinois, Indiana, Louisiana, Maryland, Michigan, Minnesota, Missouri, New York, North Carolina, Ohio, Oregon, Pennsylvania, South Dakota, Texas, Virginia, Washington, and Wisconsin.
WtW offices are located in social service agencies affiliated with the Alliance of Children and Families (ACF). ACF agencies screen and provide financial education to borrowers and service the loans. WtW local offices provide financial education to more than three persons for every individual who receives a loan. Investors in WtW include several national foundations, the Community Development Financial Institution Fund of the U.S. Treasury Department, local United Way offices, and financial institutions. Banks can be involved by investing in the national WtW loan fund, by referring to local WtW offices prospective borrowers who do not meet conventional credit criteria, by participating in local WtW loan committees, and by providing grants and in-kind donations to WtW.
Housing Program supported the financing and construction of more than 3,700 homes. In 1995, the organization was privatized and became Century Housing. It expanded its services to provide other life-enriching programs for project residents, including job training, homeless services, seniors and wellness programs, and tutorial services. Century Housing has participated in the creation of more than 12,000 units and $330 million in financing for low- and moderate-income (LMI) persons and families.
Century has spurred development by creating and administering loan pools both directly and through Century Community Development (CCDI), its CDFI subsidiary. Century’s loan pools have generated more than $125 million in financing for 49 projects in Los Angeles and Orange counties. Investors have included financial institutions and foundations.
Century Community Lending Company (CCLC) is another subsidiary of Century Housing. It is a $50 million fund that closed in 2006. It provides rehab/construction loans to small project (2-12 units) owners and developers. The fund is modeled on New York’s Community Preservation Corporation Fund. It is a “one stop shop” for affordable housing developers and owners.
CCDI closed its first $15 million loan pool, the Century Community Development Investment Fund, in 2005, with 18 small and midsized banks participating. Its second fund is scheduled to close later this year.
Century has a goal of reaching $200 million in investment commitments in its funds within the next few years.
For more information, call Stephen Peelor at (310) 642-2034 or visit Century Housing
California Community Reinvestment Initiative (CCRI)
Information regarding the sessions is available from Delores Armstead of the County of San Bernardino at email@example.com.
California Organized Investment Network
For more information on COIN, please visit its Web site at www.insurance.ca.gov/COIN. Delores McKinnon, the organization's director, may be reached at McKinnonD@insurance.ca.gov.
San Diego Capital Collaborative
Those interested in the fund may obtain more information by contacting Barry Shultz at (619) 985-1720; Shultz@capitalcollaborative.com; www.capitalcollaborative.com.
Yurok Indian Tribe Reaches Out to Financial Institutions
For more information, please contact Judith Marasco, Executive Director of the Yurok Tribal Housing Authority at (707) 482-1506.