Cleveland Housing Investment Fund Launches with $38M to Boost Affordable Housing
LISC Fund Management, LLC (LFM) and its partners are excited to introduce the Cleveland Housing Investment Fund (CHIF), made possible by an $18 million grant from the City of Cleveland and a planned $20 million investment from KeyBank. The Cleveland City Council approved the legislation enabling the City's financial support for the CHIF earlier this evening.
The contributions from both the City and KeyBank are designed to address longstanding inequalities and promote inclusive, affordable housing solutions for Cleveland residents. This public-private collaboration aims to invest $100 million in neighborhood revitalization, focusing on underrepresented communities and fostering economic development.
The City’s $18 million grant forms the foundation of the CHIF, a joint effort by the City, KeyBank, and the Cleveland office of the Local Initiatives Support Corporation (LISC). The fund's goal is to nurture vibrant, resilient communities through the development of mixed-income rental housing and homeownership opportunities. CHIF will provide both debt and equity funding for housing projects, prioritizing affordability, historically marginalized developers, and neighborhood impact. This approach aims to create opportunities for wealth generation in underserved areas.
The initiative is especially urgent in Greater Cleveland, where rents are increasing at a faster rate than in most U.S. cities, driving demand for affordable housing for low- to middle-income residents.
Mayor Justin M. Bibb stressed the importance of collaboration in tackling the city’s affordable housing crisis, saying, “Affordable, quality housing is a complex issue that requires strong partnerships to address. Encouraging private investment in historically neglected neighborhoods is critical. Establishing CHIF as a framework for this effort is a key step, and I’m grateful to our partners for their commitment.”
KeyBank has further strengthened the fund with a $20 million pledge through its Community Development Financial Institution (CDFI) group. This division of KeyBank delivers loans, investments, and financial products to CDFI partners, helping low-income families and communities access economic opportunities. Brian Maddox, National Team Leader for KeyBank CDFI Lending and Investment, remarked, "Our $20 million commitment to the CHIF reflects our dedication to affordable housing solutions that transform communities and provide safe living environments for families. We’re proud to collaborate with LISC and the City of Cleveland to bring about positive change."
The fund is managed by LFM, a subsidiary of LISC, in close cooperation with LISC’s Cleveland office. LFM oversees investment funds focused on mission-driven initiatives across the country, including similar affordable housing projects in cities like Charlotte, Detroit, Dallas, and the Bay Area. LISC’s reputation for fostering community development and working with local governments made it the City’s ideal partner for this initiative.
LFM Interim President Tiffany Durr emphasized the importance of partnerships in addressing the affordable housing crisis. "The Cleveland partnership shows how collaboration can leverage resources and expand affordable housing access. We’re excited to continue working with the City of Cleveland and KeyBank to advance equity and opportunity."
Kandis Williams, Executive Director of LISC Cleveland, highlighted LISC's deep roots in the Cleveland community. “Since 1981, LISC has been committed to supporting the growth and prosperity of Cleveland’s neighborhoods. The CHIF is another tool we are eager to utilize to benefit local residents.”
Following the City Council’s approval, CHIF will seek additional investments from corporate and philanthropic sources, launch an application portal for project financing, and begin investing in affordable housing.
City Council President Blaine A. Griffin expressed his support, noting, “We’re proud to back the Cleveland Housing Investment Fund and look forward to contributing to this vital work. Clevelanders consistently raise the need for affordable housing, particularly in historically underserved areas.”
The CHIF represents a transformative opportunity to address housing disparities and promote lasting prosperity for Cleveland’s communities. Further details for developers seeking financing will be shared soon.
The contributions from both the City and KeyBank are designed to address longstanding inequalities and promote inclusive, affordable housing solutions for Cleveland residents. This public-private collaboration aims to invest $100 million in neighborhood revitalization, focusing on underrepresented communities and fostering economic development.
The City’s $18 million grant forms the foundation of the CHIF, a joint effort by the City, KeyBank, and the Cleveland office of the Local Initiatives Support Corporation (LISC). The fund's goal is to nurture vibrant, resilient communities through the development of mixed-income rental housing and homeownership opportunities. CHIF will provide both debt and equity funding for housing projects, prioritizing affordability, historically marginalized developers, and neighborhood impact. This approach aims to create opportunities for wealth generation in underserved areas.
The initiative is especially urgent in Greater Cleveland, where rents are increasing at a faster rate than in most U.S. cities, driving demand for affordable housing for low- to middle-income residents.
Mayor Justin M. Bibb stressed the importance of collaboration in tackling the city’s affordable housing crisis, saying, “Affordable, quality housing is a complex issue that requires strong partnerships to address. Encouraging private investment in historically neglected neighborhoods is critical. Establishing CHIF as a framework for this effort is a key step, and I’m grateful to our partners for their commitment.”
KeyBank has further strengthened the fund with a $20 million pledge through its Community Development Financial Institution (CDFI) group. This division of KeyBank delivers loans, investments, and financial products to CDFI partners, helping low-income families and communities access economic opportunities. Brian Maddox, National Team Leader for KeyBank CDFI Lending and Investment, remarked, "Our $20 million commitment to the CHIF reflects our dedication to affordable housing solutions that transform communities and provide safe living environments for families. We’re proud to collaborate with LISC and the City of Cleveland to bring about positive change."
The fund is managed by LFM, a subsidiary of LISC, in close cooperation with LISC’s Cleveland office. LFM oversees investment funds focused on mission-driven initiatives across the country, including similar affordable housing projects in cities like Charlotte, Detroit, Dallas, and the Bay Area. LISC’s reputation for fostering community development and working with local governments made it the City’s ideal partner for this initiative.
LFM Interim President Tiffany Durr emphasized the importance of partnerships in addressing the affordable housing crisis. "The Cleveland partnership shows how collaboration can leverage resources and expand affordable housing access. We’re excited to continue working with the City of Cleveland and KeyBank to advance equity and opportunity."
Kandis Williams, Executive Director of LISC Cleveland, highlighted LISC's deep roots in the Cleveland community. “Since 1981, LISC has been committed to supporting the growth and prosperity of Cleveland’s neighborhoods. The CHIF is another tool we are eager to utilize to benefit local residents.”
Following the City Council’s approval, CHIF will seek additional investments from corporate and philanthropic sources, launch an application portal for project financing, and begin investing in affordable housing.
City Council President Blaine A. Griffin expressed his support, noting, “We’re proud to back the Cleveland Housing Investment Fund and look forward to contributing to this vital work. Clevelanders consistently raise the need for affordable housing, particularly in historically underserved areas.”
The CHIF represents a transformative opportunity to address housing disparities and promote lasting prosperity for Cleveland’s communities. Further details for developers seeking financing will be shared soon.
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