That way forward is impact investing of private capital. Private capital is powerful—in the time it took to read this far, thousands of investors have pursued positive financial returns on billions of dollars across countless strategies and ventures. And, today’s investors can achieve more than just financial returns, they can also drive social impact.
In cities and towns across the U.S., there are older apartments that can be preserved with affordable rents and improved. But not for long. The demand for housing at the higher end of the market is strong and developers are converting these units into more expensive rentals and condominiums, decreasing the supply of affordable housing.
At the same time, properties that don’t attract ongoing investment are being lost to deterioration and demolition (according to some industry experts the number of lost units is as high as 125,000 units a year). These properties can be revitalized and stay affordable if they are acquired by owners who have the skills and the commitment to do so.
Our investors have included Charles Schwab Bank, Citi, Morgan Stanley, Prudential, the Ford Foundation, and the MacArthur Foundation, along with individual private impact investors. They all recognize that if you want to change lives, you start where people live, one home at a time.
