Leveraging Federal Funding With Private Sources
Many communities are combining private funding from lenders, foundations, state housing finance agencies and others with federal government funds to stretch resources and address the full range of stabilization issues.
- Neighborhood Progress in Cleveland invests significant private funds in neighborhood stabilization, revitalization and foreclosure prevention.
- Founded in 1991, Living Cities is an innovative philanthropic collaborative of 22 of the world's largest foundations and financial institutions. Living Cities' members have collectively invested over $600 million to leverage government and other resources and build homes, stores, schools, childcare, healthcare and job-training centers and other community assets. In 2008, Living Cities launched an initiative to catalyze, test and learn from 10 of the most promising local pilot efforts to return foreclosed properties to productive use.
- The John D. & Catherine T. MacArthur Foundation invested $68 million in grants and low-interest loans for foreclosure prevention and mitigation efforts in Chicago neighborhoods.
- Nonprofit Mercy Housing Inc., is a partner in the initiative and will acquire as many as 3,500 properties in Chicago’s hardest hit communities for resale, rental, rent-to-own and redevelopment. The redevelopment work will be done in collaboration with numerous developers and community partners.
- The John D. & Catherine T. MacArthur Foundation and The Ford Foundation jointly funded the formation and start-up of the National Community Stabilization Trust. The Trust is a nonprofit facilitator between financial institutions who hold or manage foreclosed homes and community housing providers who want to get these properties renovated and back into productive use as new, for-sale homes or affordable rental housing.
- “The Foreclosure Crisis: A Blueprint for Foundation Intervention” , a publication of the Neighborhood Funders Group, reviews many ways in which foundations are engaged in foreclosure prevention and community stabilization.
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