Greater Cincinnati Foundation, Cincinnati Development Fund Partner To Launch Affordable Housing Investments
CINCINNATI (May 14, 2020) — Greater Cincinnati Foundation (GCF) and Cincinnati Development Fund (CDF) are pleased to announce a partnership to address our region’s critical need for affordable housing. The goal is to raise and deploy $5 million over the next five years to support affordable housing development projects throughout GCF’s tri-state, eight-county region.
GCF has made an initial investment of $1 million, and GCF’s Affordable Housing Impact Investment Pool (AHIIP) will provide the loan capital for acquisition, predevelopment, renovation and construction of affordable housing in the Greater Cincinnati metro area.
“CDF is grateful for our long-term partnership with GCF,” said Jeanne Golliher, CDF President & CEO. “This new $1 million investment to launch our Affordable Housing Loan Fund is symbolic of GCF’s community leadership on important issues. We value their ongoing confidence in CDF to positively impact the Greater Cincinnati/Northern Kentucky community with our lending to developers.”
As a result of the partnership and its strong track record of community development financing, CDF was recently awarded a $900,000 competitive, Capital Magnet Fund grant from the U.S. Department of Treasury.
“GCF is pleased that our AHIIP investment partnership – thanks to the generosity of our donors – will enable CDF to leverage this federal grant to support the development of high-quality affordable housing,” said Ellen M. Katz, GCF President and CEO. “This will make a difference for low-income families, and we invite the community to invest with us in creating a more equitable region where everyone can thrive.”
While the need for safe, affordable housing in our community isn’t new, the coronavirus pandemic has sparked even greater urgency. COVID-19 is disproportionately impacting the physical and financial health of our African American neighbors and other people of color, bringing already critical housing disparities to a tipping point. A 2017 housing study conducted by the Community Building Institute and commissioned by the Local Initiatives Support Corporation (LISC) of Greater Cincinnati and Northern Kentucky documented the need for an additional 40,000 units just in Hamilton County for families with incomes of $15,000 or less.
One of the first AHIIP-financed projects involves the renovation of two historic buildings in the 1700 block of Vine Street in Over-the-Rhine. “8K Development values inclusion and affordability in its real estate projects and strives to preserve and promote mixed-income communities,” said Michael Chewning, Partner, 8K Development. “Because of CDF’s flexible and competitive loan structure through the AHIIP, we are able to reserve six of the 10 residential units for individuals and families who are making less than 80 percent of the Area Median Income.”
For more information about investing with AHIIP, contact Robert Killins at GCF at 513-768-6151. Developers interested in applying for financing for affordable housing projects can contact CDF Loan Officer Mo Adlon at 513-977-7294.
About Cincinnati Development Fund
Cincinnati Development Fund (CDF) is a 501(c)(3) nonprofit lending institution that fills gaps not covered by traditional lenders. CDF provides funding for real estate development in under-served markets in the Greater Cincinnati area. Established in 1988, CDF works with financial institutions, community and government leaders and borrowers to support neighborhood revitalization. With high-quality management, sound loan servicing and asset management capacity, CDF has earned investor confidence and sustained high-impact lending that is responsive to community needs.
About Greater Cincinnati Foundation
As the region’s leading community foundation, Greater Cincinnati Foundation connects people with purpose in an eight-county region in Ohio, Kentucky and Indiana. GCF is leading the charge toward a more vibrant Greater Cincinnati for everyone – now, and for generations to come.