Local Initiatives Support Corporation (LISC) and its affiliate, National Equity Fund (NEF), are marking the anniversary of Hurricane Katrina with a commitment of $29 million in grants and tax-credit equity to new affordable housing in Waveland and Bay St. Louis, Miss., near where Katrina made landfall two years ago today.
That brings the total LISC/NEF commitment to GO Zone recovery to $170 million since late-2005, which represents 3,100 new and restored homes and close to 100,000 square feet of commercial/community space in 38 cities and towns across the affected area. Moreover, it includes more than $1.8 million to build the capacity of local nonprofit organizations to respond to post-storm challenges with the staffing, equipment and planning resources they need.
LISC/NEF reached the $170MM mark with two important projects sponsored by the Bay St. Louis-Waveland Housing Authority-neighboring agencies that lost every unit of their respective housing stocks to Katrina and combined forces to facilitate rebuilding after the storm. The new developments are building 209 units of affordable housing and are supported by grants and technical assistance from LISC, as well low-income housing tax credit equity from NEF.
"These Mississippi projects are indicative of the work we are doing throughout this region," noted Michael Rubinger, president and CEO of LISC, pointing to a collaboration with small-town and rural housing authorities as one critical component of LISC's GO Zone strategy. "This is not about short-term disaster relief. This is about significant, sustainable community recovery," he said.
Though he acknowledged that discouraging stories of wasted Gulf resources have frequented the evening news, he warned against using that as the benchmark against which the region's recovery is judged. "We, like many other private and nonprofit organizations in the region, have a very different story to tell * one of progress," he said. "Structures are being framed. Doors are being hung. Houses have once again become homes. It takes time, but communities can begin to heal when they have the right partners and the right financial support."
"It's clear that the nonprofits, small housing authorities and local developers with which we work are having a tremendous impact," agreed Joseph Hagan, president and CEO of NEF. "But it's also clear that the long-term work of recovery is no where near done. If we are to sustain this momentum, we need to make sure the financial resources, technical expertise and outpouring of volunteers that followed the 2005 storms does not wane with the passage of time. That's why LISC and NEF remain so active in these communities."
Funding for LISC/NEF efforts has thus far come from a number of key contributors, including: Citizens Bank; Foundation for the Mid-South; Greater Cincinnati Foundation; Home Depot; HUD Section 4; Oprah's Angels Network; Robert Wood Johnson Foundation; Rockefeller Foundation; and the W.K. Kellogg Foundation, among others. Additionally, investors in LISC/NEF-supported tax-credit projects include JPMorgan Chase and other participants in certain multi-investor funds, including Allstate, BB&T, Citigroup, Comerica, Fannie Mae, Fifth Third Bank, Freddie Mac, HSBC, US Bank, Washington Mutual and Wells Fargo.
"These organizations stepped up in those dark days of 2005 and committed to help this region recover," Mr. Rubinger said. "That is not a one, or two or even a three-year project. It is ongoing. It requires us to be on the ground, firmly implanted, connected to the local leaders and community organizations best situated to identify what needs to be done. That will continue long into the future."
Source: MultifamilyBiz.com