Enterprise Community Partners’ Equitable Path Forward

Description: Founded in 1982, Enterprise Community Partners is a national nonprofit and CDFI that combats the massive national shortage of affordable rental homes. Enterprise has invested $64 billion since its inception, creating 951,000 homes across all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. This project specifically aims to pave an equitable path for historically marginalized and underserved populations and other historically marginalized housing providers. The project was divided into three main categories to achieve the goals of the Equitable Path Forward. A Growth Fund was created and includes several products, such as entity-level lending, entity-level grants, project-level equity and project-level debt. A $15 million developer advisory service was created to deliver consulting, networking, business services and evaluation support to ensure organizations serving marginalized and underserved populations expand their capacity, invest and leverage capital. And a $10 million leadership program was developed. The two-year program is modeled after distinguished programs at major industrial and financial firms for future minority leaders in real estate. Of the $383 million raised from 28 investors and philanthropic donors, the program has committed $254 million to its 69 partners. Developers have had the opportunity to create 4,533 housing units and have leveraged the capital provided under the program to secure a total of $2.3 billion in development funding.

What makes it different: Through a powerful capital stack of debt, equity and tax credit capital along with the first-of-its-kind Standby Guarantee Facility, which offers credit enhancement, this program was designed to broaden, accelerate and amplify access to capital for minority developers. These developers also have a chance to access complementary advisory services on asset management, strategy, financial analysis, IT, HR and more to strengthen their organizational capacity.

Resources: https://www.enterprisecommunity.org/sites/default/files/2023-03/EPF-2022-Annual-Report.pdf;
https://www.enterprisecommunity.org/impact-areas/racial-equity/equitable-path-forward

Contact: Mathew Morrin, 504.335.2309