In April, IFF closed loans totaling approximately $16 million for community-driven projects in the Midwest. We’ve included information below about several of the loans and what the organizations that received them are doing with the capital. To learn more about IFF’s lending, visit our Capital Solutions page.
Bridge Kids International
IFF closed a $348,000 loan that provided Bridge Kids International (BKI) with financing for the rehab of a leased property in the Limerick neighborhood of Louisville, KY, that will serve as the nonprofit’s headquarters. BKI uses the power of African heritage culture to help young people unleash their social entrepreneurial spirits to solve economic, education, environmental, and health challenges to build sustainable communities. Planned renovations to the facility – which is located in an underutilized pocket park in the neighborhood – include the addition of a commercial kitchen and café area, roof repairs, and masonry work, as well as an overhaul of the second floor to create a dedicated space for programming. The space will include a chair lift to make the building fully accessible. The facility is being renovated using the WELL Building Standard and will leverage advanced green building techniques to maximize environmental sustainability and how the built space contributes to human health.
Once construction is completed, two social enterprises – Our Place Cafe and Our Place Boutique – will operate on the first floor of the building. The cafe will provide healthy food that uses fresh, local ingredients and will be the brick-and-mortar location of Nice Cream liquid nitrogen ice cream. The boutique will feature products from Africa and local Kentucky artisans of the African Diaspora. In its new space, BKI will launch the ATTIC (Act, Think, Teach, Inspire, Create,), a multifunctional workspace that will be used to teach skills needed for social entrepreneurship. In the renovated facility, the organization also will expand current programming, which includes STEAM (Science, Technology, Engineering, Art, and Mathematics) Club; an African Heritage Culture Camp, Brown Girls Living Out Loud, which offers a safe and creative space for girls ages 10-15 to engage in a variety of adventures, outdoor exploration, extensive arts programs, intergenerational experiences, and more; and Cooking with Kin, where young people participate in fun and practical cooking classes that emphasize health and frugality. Beyond IFF’s loan, the $1 million project is being funded with agency equity.
Turnstone Development Corporation and North Arrow Development
IFF closed a $1.35 million loan that will facilitate the development of 32 units of affordable housing in Highland, IL. The project, Flax Meadows Townhomes Phase 2, is being co-developed by Turnstone Development Corporation and North Arrow Development. It will result in eight buildings with 32 townhomes for families earning between 30 and 60 percent of the Area Median Income (AMI), with four one-bedroom apartments, 12 two-bedroom units, and 16 three-bedroom units. Five units will be set aside for the State Referral Network program and five units will have project-based rental assistance. Each unit will have its own front porch and will contain Energy Star-certified washers, dryers, stoves, and refrigerators. Additional funding and financing for the $12.6 million project includes 9% Low Income Housing Tax Credits (LIHTCs), Illinois Housing Development Authority gap funds, Madison County HOME funds, and a deferred developer fee.
Magnus Capital Partners
IFF closed two loans totaling approximately $12.3 million that provided Magnus Capital Partners with financing for the development of HōM Flats at 24 East in Holland, MI (featured in the architect’s rendering above). The project will consist of 202 units of affordable rental housing, with 54 one-bedroom units, 108 two-bedroom units and 30 three-bedroom units. Forty units will be leased at market rate, 49 units will be leased to residents earning 80 percent of the Area Median Income (AMI), 61 units will be available for residents earning 60 percent AMI, and 52 units will be leased to residents earning 40 percent AMI. The apartments are located near access to public transportation, full-service grocery stores, pharmacies, and public parks and schools. The development will also include commercial space, the bulk of which will be dedicated to a child care center at which residents will have priority to enroll their children. Amenities planned for the development include a fitness studio, a pickleball court, playgrounds, walking paths, and more, along with robust programming for residents like financial literacy classes, art programs, and career services.
The project will utilize funds from the Michigan Affordable Housing Loan Program, an initiative managed and administered by IFF, in collaboration with Kent and Ottawa Counties, offering developers flexible financing for high-quality affordable housing in West Michigan. Additional sources of financing for the HōM Flats at 24 East include a permanent loan from Merchants Bank, 4% Low Income Housing Tax Credits (LIHTCs), and Michigan State Housing Development Authority grant dollars passed through IFF, among others.
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