Neighborhood Development Company (NDC) is a minority-owned business with a well-established focus on developments that bring affordable housing to minority communities. This emphasis was recently recognized by NDC’s nomination to be a part of the 2022 Growing Diverse Housing Developers (GDHD) cohort of a program sponsored by the Wells Fargo Foundation that is a joint effort of Capital Impact Partners, Low Income Investment Fund, and Reinvestment Fund. The program aims to support real estate developers of color and create more affordable housing. Senior Vice President Michaela Cancel will be representing NDC.
The Challenges Being Addressed
In announcing this special opportunity, Capital Impact Partners shared some information about “the gaps in representation for real estate developers of color, including:
- Just 2 percent of real estate development companies are Black-led, according to Enterprise Community Partners.
- Real estate firms led by people of color control only 1.5 percent of real estate assets that are under management, according to Enterprise.
- Just 4.4 percent of commercial real estate professionals are Black, according to a 2013 survey by NAIOP, the Commercial Real Estate Development Association.
- Just 5 percent of the Urban Land Institute’s members are Black, according to a 2020 report.”
This program aims to make a meaningful contribution to changing the current dynamics in the real estate development sector. Kimberly Latimer-Nelligan, president of Low Income Investment Fund, says, “We made it a priority to partner with organizations looking to make the same impact. We look forward to supporting this cohort as they build equitable and opportunity-rich communities.”
Bringing Equity to Development
While NDC has managed to flourish and execute its mission, joining this cohort will give NDC additional, meaningful access to lower-cost, flexible capital as well as training, mentorship, and resources to continue to grow and scale the business. “We are pleased to be recognized for our work, and we are excited to be able to apply the lessons learned and the financing prospects towards building more affordable housing,” says Adrian G. Washington, the founder, and CEO of NDC
According to Capital Impact Partners, the program’s monthly curriculum will include
- Peer learning sessions
- Advisory services
- Dedicated mentorship
- National and regional events to provide essential knowledge and networks to support business growth
“I’m excited to exchange insights and best practices with other developers in the GDHD who share our challenges,” says Michaela. The developers will also have access to enterprise-level grants that will fund investments in their infrastructure, staff, and other resources that will help them increase the capacity of their organizations, as well as $100 million dedicated to affordable housing by the three funds.
NDC is making the most of this chance to grow and learn. As we continue to work on real estate development projects in the Washington DC area, we welcome investors who share in our vision. To learn more about how to become an investor in an NDC project, contact us today.