To read about the 2008 recipients, click here.
CAHEC created the Open Doors Homeownership Grant specifically for nonprofit organizations engaged in developing affordable housing for sale to low-income households living in CAHEC's service area (see below). Up to four grants of $7,500 each are available.
The Open Doors Homeownership Grant is not intended to provide gap financing for the construction of affordable housing. Rather, because nonprofit developers often incur expenses not listed in a development budget, CAHEC designed the Open Doors Homeownership Grant to supplement the costs associated with developing housing for sale to low-income households. Eligible expenses include, but are not limited to, training, travel, marketing, and consultants.
To learn more about the Open Doors Homeownership Grant and to download a 2008 application, click here. Applications are scored in a competitive review process, and awards are distributed throughout CAHEC's footprint based on the quality of the proposals. Funding is in no way guaranteed.
The 2008 deadline is July 7, 2008.
Eligibility Requirements
To be eligible for consideration, an applicant must be:
- A nonprofit organization with tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, and organized and operated for charitable purposes. (CAHEC may give consideration to tax-exempt organizations other than 501(c)(3) organizations; these applicants should contact Chris Stigall before applying.)
- Located within and primarily serving Maryland, Virginia, West Virginia, North Carolina, South Carolina, Tennessee, Kentucky, Alabama, Georgia, Florida, and Washington, D.C.
- In need of a $7,500 grant to assist in the development of housing for sale to low-income residents. Eligible expenditures include all costs related to the development of housing for sale to low-income residents, including travel, consultants, and training.
An existing relationship with CAHEC is NOT a requirement for funding.
Organizations receiving a CAHEC Open Doors Homeownership Grant will be asked to sign a Grant Agreement. Grantees agree to submit a final report in which they describe how the funds were used. Once CAHEC receives the final report, grant recipients are eligible to apply for future grants.
Funding Criteria
The housing plans must meet the following minimum criteria:
- The project includes a minimum of five (5) new or substantially rehabilitated homes. The homes may be scattered-site stand-alone single-family houses, condominiums, or townhomes. Substantial rehabilitation is defined as hard costs equal to or in excess of $20,000 per home.
- Purchase of the homes is restricted to households earning 80% or less of the Area Median Income as defined by the U.S. Department of Housing and Urban Development, adjusted for family size.
- Residents of the local and low-income community in which the housing is being built are participating in the planning process.
- Homeownership training is in place for purchasers before and after the purchase of the home.
- The homes must be sold by the end of the second year after the funds are awarded.
2008 Open Doors Homeownership Grant Recipients
CAHEC is happy to announce the recipients of the 2008 Open Doors Homeownership Grant. We received applications from a wide range of nonprofits all dedicated to improving the housing opportunities for local residents in five southeastern states. Members of CAHEC's Social Responsibility Committee, who judged the entries, were both heartened by and impressed with the many creative affordable housing solutions described in all of the applications.
Although all projects were worthy, the winning applications provided a clear demonstration of the impact of the development on the community, included a detailed project budget, and were well-written and complete. Each of the recipients received a $7,500 grant to assist in the development of housing for sale to low-income residents.
Below is a synopsis of each organization's project.
Atlanta Neighborhood Development Partnership, Inc. (ANDP)
235 Peachtree Street, NE
Suite 2000 - 20th Floor
Atlanta, GA 30303-1405
(404) 522-2637
www.andpi.org
The Pittsburgh neighborhood of Atlanta is a 16-block, predominantly African-American community that has a vacancy rate approaching 50 percent as a result of foreclosures and mortgage fraud. Collaborating with a number of organizations, ANDP is set to acquire and rehabilitate approximately 30 vacant homes and target neighborhood residents who are currently living in substandard housing. ANDP expects that three to five of the units will convert to homeownership every year with residents participating in a lease-to-purchase plan and with ANDP securing additional homeownership subsidy support. ANDP will use the CAHEC grant to cover the initial cost associated with hiring a development consultant to conduct in-depth research on the housing stock, rehab cost, and possible vendors to refine the plan.
Better Housing Coalition (BHC)
23 W. Broad Street
P.O. Box 12117
Richmond, VA 23241
(804) 644-0546
www.betterhousingcoalition.org
Better Housing Coalition is involved in a HOPE VI revitalization effort with the Richmond Redevelopment and Housing Authority. Over the next two and one-half years, BHC plans to build 45 single-family homes in the formerly blighted Blackwell neighborhood for buyers with incomes between $33,000 and $68,700. CAHEC's funds will help this project in three ways:
- Eleven of the new homes will have many energy-saving features including solar hot water heaters. Homeowners will need training on the proper use and maintenance of this equipment. Some of the grant will be used to hire a consultant to develop a training component.
- BHC gives each homebuyer a tool kit and instructional manual for home maintenance at the cost of $50 each. BHC will allocate a portion of the grant toward this expense.
- Since people still associate the Blackwell neighborhood with blight, BHC aims to reposition the neighborhood as one of choice for a variety of buyers through effective marketing and advertising. CAHEC funds will be applied toward designing and printing marketing materials.
Cape Fear Habitat for Humanity (CFHFH)
1208 South Third Street
Wilmington, NC 28401
(910) 762-4744
www.capefearhabitat.org
The Open Door Homeownership Grant will be used to provide office space and program materials for "Your Credit-Your Future Remediation Program." This program is a new, critical dimension to CFHFH's existing economic literacy education for potential homeowners. Program participants will work one-on-one with a credit specialist to take the necessary steps to create a positive credit score to qualify as a homebuyer. CAHEC's support will be leveraged with United Way funds to hire the credit specialist. No other program in New Hanover County is providing this individual service of credit remediation with a long-term, case-management approach.
Housing Initiative Partnership, Inc. (HIP)
6525 Belcrest Road, Suite 555
Hyattsville, MD 20782
(301) 699-3870
www.hiphomes.org
Housing Initiative Partnership, Inc. (HIP) has been serving as the development consultant to a Washington, D.C. tenants' association that purchased their two-story, 12-unit apartment building with the objective of maintaining affordable monthly charges for the residents. The building is located in a gentrifying neighborhood on the edge of Capitol Hill, where the sales prices for some single-family homes in 2007 were more than $700,000. The apartment's residents, many of whom are long-term tenants, earn incomes ranging from $7,400 to $60,000. Originally built in 1927, the small apartment building needed substantial rehabilitation. As the development consultant, HIP created a development plan; solicited proposals from architects, contractors, attorneys, etc.; helped negotiate final agreements; and oversaw the construction. HIP also provided the tenants with post-development services such as training for working with a management company, maintaining the association, and forming and working with a board of directors. CAHEC's grant will help cover expenses related to this ongoing technical assistance.
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