Providing grants to nonprofits is not the only way we offer support. Impact investing—lending donor dollars for a particular project—is a growing aspect of philanthropy, and one that opens new doors for our community.
By lending funds to organizations with the expectation that the loan will be repaid over time allows us to ‘recycle’ funds, so that we and our donors can fuel future endeavors.
We invest in nonprofit organizations and for-profit social enterprises that measurably improve access to affordable housing, and equitably expand economic opportunity for marginalized residents of Northeast Florida.
Using the framework of a Local Capital Pool, we look to address and surmount the existing gaps and inadequacies faced by under-served communities when they try to obtain financing. Measurable local impact will be our primary emphasis when we make loans and equity investments.
“For almost 60 years, The Community Foundation has partnered with people who want to give back to their community. Impact investing is an exciting way to give forward, helping address our affordable housing crisis through access to capital.”
– Nina Waters, president of The Community Foundation
Impact investing dollars are already hard at work. The Community Foundation has already deployed more than $1 million to expand the supply of affordable housing in Northeast Florida.
Our first investment was a $1 million loan to LISC Jacksonville, to be re-loaned to local Community Development Corporations (CDC’s) to advance affordable housing through home ownership, filling a critical gap in the area as rents have risen 31 percent in one year. Many of these CDCs are Black-led nonprofit real estate development companies focused on under-served communities.
We also made a $125,000 loan directly to the Northwest Jacksonville CDC to ensure an affordable rental house stayed affordable to local families. This was a timely opportunity that surfaced when the Foundation was approached by a donor interested in gifting a portfolio of local real estate. The couple donated the first house as a tax-deductible gift to The Community Foundation, which then made a low-cost loan to Northwest Jacksonville CDC to purchase the house. As the new owner, the CDC is able to rent the home and earn revenue to support its mission.