Partnership Boosts AH in Louisiana

Federal, state and private entities have entered into a unique $47 million partnership designed to provide needed capital to affordable and mixed-income housing developers operating in Louisiana's Gulf Opportunity Zone-designated parishes.The state of Louisiana raised an initial investment of $17 million in federal Community Development Block Grant funds, and private investors added another $30 million. The private investors include Capital One, JPMorgan Chase, Deutsche Bank, and some of the country's largest foundations, such as the Ford Foundation, the Rockefeller Foundation, and the Bill and Melinda Gates Foundation. Developers "with proven housing development experience" may borrow up to $200,000 for early pre-development expenses and up to $3 million per project for acquisition and loan carrying costs. "We are providing an extraordinary incentive for developers to provide affordable housing for residents who need it most," said Louisiana Gov. Kathleen Babineaux Blanco. The Louisiana Loan Fund is expected to build and rehabilitate about 4,500 affordable homes and apartments for households with 80% of the area median income.