Capital Impact Partners

Capital Impact Partners
Founded 1978
Type Non-Profit CDFI
Location
Area served
 United States
Method Loans, Grants, Investments
Mission Community Development
Website www.capitalimpact.org

Capital Impact Partners, or simply Capital Impact, is a Congressionally chartered,[1] District of Columbia nonprofit and certified community development financial institution (CDFI) that provides credit and financial services to underserved markets and populations in the United States.[2][3]

Capital Impact was created in 1978 as the nonprofit arm of the National Cooperative Bank (NCB) as part of the National Consumer Cooperative Bank Act.[1][3][4] Capital Impact became independently certified as its own CDFI by the United States Treasury Department's Community Development Financial Institutions Fund in 2011. The company's CEO is Terry Simonette, the CFO is Ellis Carr, the chief lending officer is Scott Sporte and Amy Sue Leavens is the chief legal counsel.[2][5][6][7][8]

The company is among the largest CDFIs in the country. As of 2014, they invested around $1.8 billion into senior care, affordable housing, health care, education and public nutrition projects in distressed and low-income communities across the country.[2][3] These investments include the creation of over 9,000 units of affordable assisted living; more than 35,000 units of affordable housing; 3 million square feet of health center space providing more than 1 million patient visits annually; $500 million for developing charter schools creating more than 200,000 seats for children; and healthy food retail in over 60 locations. Capital Impact has created around 30,000 new jobs for low-income individuals.[4][9]

Projects

Capital Impact provides financing to individuals, organizations and companies in order to build new businesses or expand existing facilities that increase access to services for populations made up primarily of low to moderate income residents.

Cooperative development

With its origins in the 1978 National Consumer Cooperative Bank Act, Capital Impact continues with the economic advancement of cooperatives as one of its initiatives. They partner with the National Cooperative Grocers Association to provide underwriting and loan administration services to food co-ops across the country.[10] In 2015, Capital Impact awarded $40,000 to the Democracy at Work Institute and the United States Federation of Worker Cooperatives through its first Co-op Innovation Award.[11]

Affordable housing

Capital Impact Partners oversees the Cornerstone Partnership, which helps shared-equity housing programs grow and share best practices.[12] They also invested in the cooperative business ROC USA. The organization helps owners of manufactured homes work to together to purchase their land.[13]

In 2011, Capital Impact received a $2 million grant from the Social Innovation Fund, a program of the Corporation for National and Community Service. Capital Impact used the grant to replicate shared equity homeownership programs that enable new homebuyers to partner with a government or nonprofit agency acting as a co-investor, providing the homebuyer with public funds to reduce costs. In return, homebuyers agree to share their equity appreciation to preserve affordability and return funds to the initial public investment.[14] In October 2015, a piece in the Dallas Observer featured Capital Impact's "Inclusion Calculator" in an address to the city's affordable housing zoning issues.[15]

Education

As of December 31, 2013, Capital Impact had disbursed $630.6 million to charter schools, representing 30% of all charter school lending nationwide.[16] Examples of this financing include the Jalen Rose Leadership Academy in Detroit, the El Sol Arts and Science Academy in Los Angeles, Palmetto Charter School in Florida and EdVisions, a teacher-owned cooperative that opened the Minnesota New Country School.[17][18][19][20]

Health care

After Hurricane Katrina, Capital Impact financed $700,000 for a Tulane University-supported community health center in the New Orleans neighborhood Broadmoor. The center serves 1,300 patients annually and created more than 200 permanent jobs in the community.[21] In 2013, Capital Impact financed a 10-year, $5 million loan to the Sonoma Valley Community Health Center.[22] Capital Impact is an investor in the Brockton Neighborhood Health Center, which is the town’s largest employer.[23] In October 2015, Capital Impact financed a $3.8 million expansion for a Native American Health Clinic in Sacramento.[24]

Healthy food

Capital Impact administers The California FreshWorks Fund, a $272 million loan fund designed to finance inner-city grocery retailers and increase access to healthy foods and alleviate food deserts in those areas. First Lady Michelle Obama announced the loan fund at a ceremony in 2011.[3][4][9]

Capital Impact manages the Michigan Good Food Fund, a public-private partnership that increases access to fresh produce and meat in under-served communities while also expanding business opportunities for entrepreneurs in the food and agriculture sector through loans and grants.[25]

In addition to FreshWorks, Capital Impact provides financial and developmental services to healthy food projects including the Michigan Good Food Fund, the Northgate Gonzalez Markets, the Banner Supermarket in Detroit and LA Prep in California.[26][27][28][29]

Senior care

In 2006, Capital Impact received a grant from the Robert Wood Johnson Foundation to help create the The Green House Project, an alternative to the traditional nursing home. Developed by Dr. Bill Thomas, Green House homes provides nursing care to 10 to 12 older adults in a small, home-like setting with the goal of providing more autonomy in decision-making, more self-directed care and more social connections. Today, there are 153 Green House homes on 35 campuses in 25 states across the country including The Harry and Jeanette Weinberg Green House Homes at Mirasol in Loveland, Colorado.[4][13][26][30][31]

Capital Impact also administered the Village to Village Network, a peer network group that facilitated aging in place based on a model started by Beacon Hill Village. Villages are community-based membership organizations that provide support through volunteering and resource referrals for older adults so they can age in their own homes and communities.[32] In

In 2015, Capital Impact partnered with the AARP and the Calvert Foundation to establish the Age Strong impact investing program. The Age Strong effort identifies and provides financing to projects that help low-income people over 50 secure housing, have access to healthy food and health care, improve their financial situations and remedy common problems associated with isolation.[33]

Other services

Capital Impact also facilitates financing deals that include New Markets Tax Credits awarded by the Department of Treasury through its CDFI Fund to promote access to capital and local economic growth in urban and rural low-income communities across the nation.[4][34]

Detroit development

In 2006, Capital Impact began working intensively within the urban communities of Detroit, Michigan. In 2010, Capital Impact became the CDFI partner with the Living Cities Integration Initiative to bring economic development to Detroit and densify its urban core.[4]

As part of its efforts to create affordable housing and mixed-use development in the city, Capital Impact launched the $30-million Woodward Corridor Investment Fund with the Kresge Foundation and the Detroit Neighborhoods Fund with JPMorgan Chase. Through these funds Capital Impact finances projects that renovate and preserve historic buildings in Midtown Detroit.[35][36]

Projects benefitting from these investments include the renovation of the Professional Plaza, Rainer Court, Nailah Commons and the Regis Houze which is connected to the Hotel St. Regis.[37][38][39]

In 2013, Capital Impact won the Wells Fargo NEXT Award for Opportunity Finance for their work in education, affordable housing and mixed-use projects in Detroit.[40]

See also

References

  1. 1 2 Statute 92, National Consumer Cooperative Bank Act, Public Law No. 95-351 of 20 August 1978 (in English). Retrieved on 11 December 2015.
  2. 1 2 3 Andrews, Nancy; Hinkle-Brown, Don (January 27, 2015). "Capital Magnet Fund creates 'bang for the buck' in affordable housing". TheHill.com. News Communications, Inc. Retrieved May 6, 2015.
  3. 1 2 3 4 Pothering, Jessica. "How the First Lady Helped Small Grocery Businesses Reduce 'Food Deserts' in California". Entrepreneur.com. Entrepreneur Media Inc. Retrieved May 6, 2015.
  4. 1 2 3 4 5 6 Kanani, Rahim (January 8, 2012). "NCB Capital Impact: Investing Billions into Underserved Communities Nationwide". Forbes.com. Forbes Inc. Retrieved May 6, 2015.
  5. ↑ "Ellis Carr: People on the move". bizjournals.com/washington. American City Business Journals. August 10, 2012. Retrieved May 6, 2015.
  6. ↑ Small, Vanessa (August 19, 2012). "Behind the career: Ellis Carr of NCB Capital Impact". WashingtonPost.com. Nash Holdings LLC. Retrieved May 6, 2015.
  7. ↑ O'Meara, Mark. "Late Allocation Announcements, Market Maturity Create High Demands for NMTCs" (PDF). Novoco.com. Novogradac & Company LLP. Retrieved May 6, 2015.
  8. ↑ Slavinsky, Roksana (March 11, 2015). "Amy Sue Leavens - Capitla Impact". bisnow.com. Bisnow. Retrieved May 6, 2015.
  9. 1 2 "Capital Impact Partners Investment Partner Profile". wkkf.org. WK Kellogg Foundation. Retrieved May 6, 2015.
  10. ↑ Pugh, C.E. "Investing in Our Cooperative Future". Triangle Park Creative. Retrieved November 2, 2015.
  11. ↑ "Capital Impact Partners' First "co-op Innovation Award" Provides $40,000 to Two Leading Cooperative Organizations". NCBA CLUSA. Retrieved November 2, 2015.
  12. ↑ "NCB Capital Impact Receives Coveted $2 Million Social Innovation Fund Award for its Cornerstone Partnership Initiative". AffordableOwnership.org. Community Solutions Group, LLC. 27 September 2013. Retrieved May 7, 2015.
  13. 1 2 Shin, Laura (August 29, 2014). "Innovative Loans Secure Affordable Housing". aarp.org. AARP. Retrieved May 6, 2015.
  14. ↑ "Capital Impact Partners". Corporation for National & Social Service. Retrieved November 2, 2015.
  15. ↑ Schutze, Jim (27 October 2015). "A Rational Way to Weight Affordable Housing, Not That We Want To Be Rational". dallasobserver.com. Dallas Observer, LP. Retrieved 11 December 2015.
  16. ↑ "2014 Charter School Facility Finance Landscape". charterschoolcenter.org. US Department of Education. Retrieved May 7, 2015.
  17. ↑ Rose, Jalen (1 February 2013). "Jalen Rose Leadership Academy: Bringing a Quality Education and Jobs to Detroit". huffingtonpost.com. TheHuffingtonPost.com, Inc. Retrieved May 7, 2015.
  18. ↑ "Capital Resources Lending Activity". lisc.org. LISC. Retrieved May 7, 2015.
  19. ↑ Donovan, Annie. "Subsidy and the Charter School Facilities Finance Market" (PDF). bostonfed.org. Federal Reserve Bank of Boston. Retrieved May 7, 2015.
  20. ↑ Johnson, Matt M. (15 April 2015). "Charter school buys Palmetto property for $3.5M". bradenton.com. Bradenton Partners. Retrieved May 7, 2015.
  21. ↑ Arnaud LePape, Virginie; Kelly, Jon. "What Was and What Will Be: Helping Rebuild New Orleans with the Community Green" (PDF). Novoco.com. Novogradac & Company LLP. Retrieved May 6, 2015.
  22. ↑ "Health Center secures finances for new site". sonomanews.com. The Sonoma Index Tribune. September 30, 2013. Retrieved May 6, 2015.
  23. ↑ "Clip of the Day: It All Started With a Van". cdficonnect.org. Opportunity Finance Network. 15 August 2014. Retrieved 11 December 2015.
  24. ↑ Robertson, Kathy (27 October 2015). "Native American health clinic in midtown nears $3.8M fundraising goal". bizjournals.com/sacramento. Sacracmento Business Journal. Retrieved 11 December 2015.
  25. ↑ Meyer, Zlati (June 19, 2015). "Fund offers loans to make healthy food more accessible". Gannet Company. Retrieved November 2, 2015.
  26. 1 2 "Capital Impact Partners". healthyfoodaccess.org. Healthy Food Access Portal. Retrieved May 6, 2015.
  27. ↑ Gonzalez, Oscar. "CDFI New Markets Tax Credit Alliance". Retrieved May 7, 2015.
  28. ↑ "El Rancho Marketplace Opens in San Obispo County". progressivegrocer.com. Stagnito Media. 11 December 2012. Retrieved May 7, 2015.
  29. ↑ "Midtown and Northwest Detroit Draw New Apartments, Businesses, Expansions". dbusiness.com. Hour Media. 24 July 2014. Retrieved May 7, 2015.
  30. ↑ Jaffe, Ina (July 24, 2013). "Move Over Nursing Homes — There's Something Different". npr.org. NPR. Retrieved May 6, 2015.
  31. ↑ Garcia, Teresa (February 2014). "NMTCs Give Green Light to Senior Housing Alternative". Novogradac Journal of Tax Credits (Novogradac & Company LLP) V (II): 1–2.
  32. ↑ Gupta, Vasudha (June 2012). "Assessing the Village Model and the Village To Village Network in Advocating Aging in Place for Older Americans" (PDF). MIT.edu. Massachusetts Institute of Technology. Retrieved May 6, 2015.
  33. ↑ Daniels, Alex. "AARP Foundation Launches Impact-Investing Program". The Chronicle of Philanthropy. Retrieved November 2, 2015.
  34. ↑ O'Meara, Mark. "Round 11 NMTC Awardees Discuss Program’s Future, Plans for Allocations" (PDF). Novoco.com. Novogradac & Company LLP. Retrieved May 7, 2015.
  35. ↑ Hulett, Sarah (21 May 2014). "JPMorgan Chase Announces Detroit Investment". npr.org. NPR. Retrieved 11 December 2015.
  36. ↑ Tankersly, Jim (10 July 2014). "JPMorgan is betting $100 million on Detroit. Can it leverage a lot more?". washingtonpost.com. Nash Holdings LLC. Retrieved 11 December 2015.
  37. ↑ Pinho, Kirk (21 January 2015). "Redevelopment of 'hammer and nail' building in Midtown would create apartments, retail". crainsdetroit.com. Crain Communications, Inc. Retrieved May 7, 2015.
  38. ↑ Pinho, Kirk (11 January 2015). "Barbat builds his portfolio of downtown real estate". crainsdetroit.com. Crain Communications, Inc. Retrieved May 7, 2015.
  39. ↑ Pinho, Kirk (9 March 2015). "58 town homes proposed for East Ferry Street in $10 million development". crainsdetroit.com. Crain Communications, Inc. Retrieved May 7, 2015.
  40. ↑ "Captial Impact Partners". Opportunity Finance Network. Retrieved November 2, 2015.

External links

This article is issued from Wikipedia - version of the Friday, December 11, 2015. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.