Center for Community Economic Development Assistance Community - - PowerPoint PPT Presentation
Community Economic Development Technical Assistance CCEDA Community Development Services May 8, 2014 CCEDA 2014 Teaching and Learning Conference Los Angeles Projects of the California Community Economic Development Association Center for
Projects of the California Community Economic Development Association
Center for Community Economic Development Assistance
May 8, 2014
CCEDA 2014 Teaching and Learning Conference – Los Angeles
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development (CED) is a federal grant program funding Community Development Corporations that address the economic needs of low-income individuals and families through the creation of sustainable business development and employment opportunities. CED's projects create employment opportunities that lead to increased self- sufficiency for low-income individuals through a variety of activities, such as: Capital expenditures such as the purchase of equipment or real property; Allowable operating expenses; and loans or equity investments. CED funds a variety of projects, including:
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
CED awards funds to: Private, non-profit organizations that are community development corporations (CDCs) including faith-based organizations, and Tribal and Alaskan Native organizations. CDCs must have as their principle purpose planning, developing or managing low-income housing or community development projects. CED programs also provide technical and financial assistance for economic development www.acf.hhs.gov/programs/ocs/programs/ced/about
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
What is the Healthy Food Financing Initiative? The Healthy Food Financing Initiative (HFFI) supports projects that increase access to healthy, affordable food in communities that currently lack these options. Through a range of programs at the U.S. Departments of Agriculture (USDA), Treasury and Health and Human Services (HHS), HFFI will expand the availability of nutritious food, including developing and equipping grocery stores, small retailers, corner stores and farmers markets selling healthy food. Residents of these communities, which are sometimes called “food deserts,” typically rely on fast food restaurants and convenience stores that offer little or no fresh food. Healthy food options are hard to find in these communities or are unaffordable.
International Sonoran Desert Alliance, Ajo Arizona
Plaza Restoration Conference Center
Pacific Gateway Business Incubator/Office Pacific Gateway Business Kitchen Incubator, Honolulu, Hawaii Pacific Gateway Restaurant
Value Added or Retail Processing Pacific Gateway Business Kitchen Incubator, Honolulu, Hawaii Pacific Gateway Business Incubator / Restaurant
Pacific Gateway Kunio Farm : 24 Farmers on 71 Acres
Northwest Side CDC has received numerous CED grants since 2006 and has used these funds to serve the needs of Milwaukee's low-income communities. In 2010, Northwest Side CDC was awarded a CED grant, which provided a $700,000 loan to Diamond Precision to continue its expansion by purchasing equipment and making improvements to its manufacturing facility. According to wisn.com, “Two years ago, the company had 55 employees and was struggling to keep them all on. Today, between plants in Johnson Creek and Milwaukee, it has more than doubled its workforce.”
Agricultural Distribution Center Espanola, NM Siete Del Norte Office Center, Embudo New Mexico
Multi Purpose Recreation Center, Little Tokyo, LA
Center for Community Economic Development Assistance
Electronic Recycling, Indianapolis Center for Community Economic Development Assistance
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Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Community Economic Development - Why
Community Economic Development – Our Bias 1. Strategies should lead to projects 2. Projects must leverage new streams of capital from the public and private sector 3. Projects must ultimately generate income to minimally cover expenses (while building an asset base) 4. Programs and services that require ongoing subsidy, should only be considered if they support and enhance CED projects Community Economic Development – Technical Assistance (CED-TA)
Objectives / Benefits
Who Can Benefit: 1. Organizations thinking about CED – Brainstorming 2. Organizations developing a job creating CED strategy 3. Organizations that are ready to start a project or have already begun Community Economic Development – Technical Assistance (CED-TA)
The Technical Assistance Team: Ralph Lippman: Executive Director
Glenn Sanada: Director of Technical Assistance
Jan Laufik: President Community Development Services – CCEDA
for-profit development firm
Community Economic Development – Technical Assistance (CED-TA)
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Development Guides
Multi Unit Affordable Rental Housing 9% LIHTC Multi Unit Affordable Rental Housing 4% LIHTC and Bonds Single Family Development Commercial Retail and Office Development Community Facility Development Mixed Use Development Social Enterprises Business Technical Assistance Community Development Loan Funds Community Development Micro Loan Funds Community Development Credit Unions Community Development Investment Funds Community Development Financial Institutions New Markets Tax Credits Alternative Financial Services Financial Education Foreclosure Prevention – Mortgage Counseling
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Affordable Housing Development: 1. 50 Unit Affordable Multi Family New Construction: Initial feasibility and assistance in project team development, construction loan closing, construction completion, lease up and permanent financing for this $10.4 million project. 2. 52 Unit Affordable Multi Family New Construction: Conducting initial feasibility for this estimated $14.1 million, and will utilize 4% Low Income Tax Credits, tax exempt financing and State HOME funding. 3. 76 Unit Affordable Senior Housing Acquisition/Rehab: Conducting feasibility on this project with estimated development costs of $6.78 million and will use tax exempt financing with 4% Tax Credits, with the owner carrying back a portion of the financing. 4. 34 Unit Affordable Acquisition/Rehab: Structuring feasible financing scenarios for this $5 million project. Seeking identification of a permanent financing source. 5. 20 Unit Affordable Acquisition/Rehab: Structuring feasible financing scenarios for this $5 million project. Seeking identification of a permanent financing source. 6. 30 Unit Affordable Multi Family New Constitution: Assisting in initial feasibility of this $8 million project. 7. Feasibility Analysis for Affordable Housing Development: Agency owns two contiguous vacant sites and CCEDA is assisting in determination of feasibility for the development of affordable housing on approximately 9 acres. 8. CED Project Refinance Existing Multi Family Housing Project: The project is a 49 unit multi- family housing project and the restructured financing and rehab work will be $7.2 million. The project will seek additional 4% Tax Credits to insure long term affordability.
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Facilities:
serve the organizations head start program and other food related business incubation services
expanding the project to include food related services (food-kitchen incubator). Testing feasibility of incorporating New Markets Tax Credits into the project.
agencies seeking a permanent building for their offices and programs.
capital expansion of an existing school building. The building will be the central neighborhood hub for social, economic, and educational services. Mixed Use:
initial feasibility for a proposed mixed use affordable housing, commercial and community facilities. The project proposes to combine senior and family housing.
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Lending:
federal community development credit union. Offered to assist in meetings with potential grant and investment sources.
existing programs (IDA, VITA, and Financial Education) to include micro-lending. Brainstorming Sessions:
at their current institutional kitchen.
activities and discuss ways to finance their regional weatherization training center, possible acquisition of their building and possible re-development of their existing transitional housing project and adjacent vacant land.
activities and discussed their affordable housing development activities and potential CED related activities around their garden and food programs.
activities.
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Technical assistance activities include:
in the development process. Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Process 1. Initial Contact: Phone call or email to discuss your CED need. 2. One-on-One Sessions: CCEDA will follow up on scheduling meetings. CCEDA TA team will be available via conference calls or to discuss/brainstorm technical assistance need. Summary memos will be prepared and next steps will be outlined. This process will continue through the grant period. 3. Ongoing TA: CCEDA TA team will continue to be available via phone and email to assist you in moving your project to the next development step. Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
Community Economic Development – Technical Assistance (CED-TA)
Center for Community Economic Development Assistance
FAMILY Villa Lakeshore Lakeside, CA FAMILY: Hojas de Plata, La Puente, CA
North Point Apartments: 50 Units $10.4 million development cost
$ 1,950,000
$ 4,800,000
$ 450,000
$ 2,630,000
$ 110,000
Center for Community Economic Development Assistance
LOWDEN SENIOR APARTMENTS Proposed 97-unit new construction senior project in Redding Site entitled and available through sale from cooperating owner City interested in providing necessary subsidy Typical bond/tax credit structure with bank private placement structure Projected very reasonable $150,000/per unit cost with $72,000/unit subsidy $1.7M developer fee
FAITH MANOR APARTMENTS Existing 62-unit project in Hayward in need of substantial rehabilitation No existing restrictions, no existing subsidy Church own “rental subsidy program” as part of successful story of neighborhood turnaround Under syndication, church will remain in control as Managing GP working with experienced property management company and property will revert back after 15 years Sources include 221(d)(4) FHA conventional loan combined with 4% tax credits and seller financing with NO LOCAL SUBSIDY Benefits include $4.7M renovation ($67,000/unit); and $2M developer fee
Ralph Lippman: ralph@cceda.com Glenn Sanada: glenn@cceda.com Jan Laufik: jan@cceda.com
Projects of the California Community Economic Development Association Center for Community Economic Development Assistance
May 8, 2014
CCEDA 2014 Teaching and Learning Conference – Los Angeles