Capital Impact Partners and JPMorgan Chase & Co. Launch $30 Million Fund
Providing Loans Supporting Community Development in Detroit
Fund provides financing for projects that increase access to affordable
housing and fresh, healthy foods
DETROIT and ARLINGTON, Va., July 10, 2014
DETROIT and ARLINGTON, Va., July 10, 2014 /PRNewswire-USNewswire/ --Capital
Impact Partners and JPMorgan Chase & Co. today announced the launch of the $30
million Detroit Neighborhoods Fund supporting the revitalization of Detroit.
The Fund provides financing for multi-family residential properties, mixed-use
real estate and grocery stores. The goal is to increase housing options for
those with low and moderate incomes and help eliminate "food deserts" or other
areas with limited access to fresh, healthy foods.
"Where many see Detroit as a risky investment, we see an opportunity to help
re-build this city into the strong, vibrant community it once was," said Terry
Simonette, President and CEO, Capital Impact Partners. "Our ability to
strategically deliver flexible, long-term loans along with social innovation
programs provides Detroit's underserved communities with affordable housing,
access to fresh foods and health care, quality education and independent aging
The launch of this fund is part of JPMorgan Chase's $100 million, five-year
commitment announced in May, 2014 to accelerate Detroit's economic recovery
and help strengthen its neighborhoods. The Detroit Neighborhoods Fund is
capitalized through a $20 million investment by JPMorgan Chase and $10 million
by Capital Impact Partners, a leading non-profit community development lender.
"JPMorgan Chase is proud to be a leading national supporter of Capital Impact
Partners and a strong advocate for Detroit's economic future," said Sean
Birney, Vice President, Chase Community Development Banking. "With this fund,
more housing will be built and other critical economic development projects
will break ground. This is good for Detroit's economy and job creation, and is
another step in our joint commitment to help Detroit recover."
Capital Impact Partners is complementing its nationwide community development
strategy by specifically focusing on delivering financial and social impact in
Detroit. Since 2010, Capital Impact Partners has deployed over $70 million in
support of 14 projects, helping to attract more than four thousand people to
Detroit's inner core.
The Detroit Neighborhoods Fund will further expand on previous work with local
organizations, foundations and partner institutions – including JPMorgan Chase
– to deploy financing that is helping to revitalize Detroit. Examples of
these deals include:
oThe abandoned Kirby Street Hebrew Day School was turned into 25 new
apartment units in Midtown Detroit by two local borrowers, achieving dual
aims of improving access to housing units that will increase population
density in a high demand area and cleaning up and brightening an unused
property to eliminate blight.
oAdvantage Health Center moved into a new facility located on Detroit's
famous 8 Mile Road, making it easier to find and significantly increasing
access to health care for their 20,600 patients.
oThe Henry Ford Academy converted a formerly vacant building in historic
Detroit into a charter elementary school educating 380 students from
kindergarten through 5^th grade.
oIn partnership with The Kresge Foundation, the $30 million Woodward
Corridor Investment Fund is being developed to invest in transformative
real estate projects that advance redevelopment of Detroit's Woodward
In addition to strategic loan opportunities, Capital Impact Partners also
deploys social innovation programs in Detroit that rethink how traditional
systems operate, creating benefits for those being served as well as the
community as a whole. This includes:
oAccelerating economic opportunity by working in collaboration with Living
Cities and cross-sector partners in Detroit to run the Detroit Corridor
Initiative. Capital Impact Partners provides key "backbone" support to
this collective impact initiative which aims to accelerate economic
opportunity in Detroit's mixed use and mixed income commercial corridors.
oIndependent aging innovation that provides control and dignity for aging
elders through programs that serve as alternatives to traditional nursing
homes. This includes THE GREEN HOUSE® Project in development at the
Rivertown Neighborhood to provide care in a home-like setting, and a
chapter of the Village to Village Network which is part of the Community
Connections of Greater Midtown system that allows older individuals to
remain in their homes with the support they need.
In addition to its investment in the Detroit Neighborhoods Fund, JPMorgan
Chase has also made a $5 million philanthropic grant to provide Capital Impact
Partners with operational and programmatic support.
"I am excited about working in partnership with a company like JPMorgan Chase
that has such incredible vision. With smart investment and support, Detroit
will ultimately serve as the premier example that all people and communities
can reach their highest potential at every stage of life," said Simonette.
Detroit Neighborhood Fund Overview:
Eligible Borrowers include multifamily rental housing, mixed use facility and
healthy foods retail owners and developers with projects located within the
city of Detroit. Conforming Loans are loans made to eligible borrowers to
finance construction and/or permanent loans.
Preference is given to projects that make at least 20 percent of units
available to people with low and moderate incomes. Food projects will be
located in areas shown to have low access to fresh, healthy foods.
In addition, preference is given to projects that most meet Capital Impact
Partners' community impact standards.
About Capital Impact Partners:
Capital Impact Partners is a leader in financial and social innovation for
communities. A nonprofit organization and certified Community Development
Financial Institution, we bring our roots in cooperative development, diverse
network of partners and problem solving know-how to connect communities to
capital and capabilities that together create social change. Capital Impact
Partners has disbursed nearly $2 billion nationwide over the last 30 years
across the healthcare, healthy foods, education, affordable housing and
independent aging sectors to help build strong, vibrant communities.
Headquartered in Arlington, VA, Capital Impact Partners operates nationally
with local offices in Detroit, MI and Oakland, CA. Read more at
SOURCE Capital Impact Partners
Contact: Jeanne Molinari (firstname.lastname@example.org) 703-647-2316
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