Front Porch Investments: Development and Preservation Fund Grant

Overview

_NOTE: If you're interested in applying for funding for your project, please complete the Loan Program Interest Form. Once submitted, our Loan Manager will schedule an initial call to discuss your project details, establish milestones, and outline application timelines and next steps._Front Porch Investments

Front Porch Investments envisions a community committed to ensuring all have a home where they can thrive, with bold decisions and effective innovation supporting housing as a human right.

Front Porch Investments was created as a response to the demand for strategic investment and coordinated leadership in the areas of affordable housing and homelessness prevention. Our primary purpose is to increase investments, innovation, and strategic partnerships across the greater metro area. Our initial focus will be on the implementation of the strategic framework and solutions identified in the Assessment of Housing Affordability, Needs, & Priorities report.

We will build on the exemplary housing developments, organizations, and individuals tasked with these challenges in the past, harnessing today’s momentum and incredible talent, to create a more robust, holistic, and lasting approach.

Development and Preservation Fund

The Development and Preservation Fund was created in alignment with recommendations provided by the Omaha and Council Bluffs Area Assessment of Housing Affordability, Needs, & Priorities report. As identified in the assessment, the broad goals of the fund are to:

* Provide gap financing for the development of new affordable housing, including mixed-income rental housing, the creation of affordable housing in areas near job centers and transit, and transformative "catalyst" projects in neighborhoods undergoing broader revitalization efforts
* Provide needed gap financing to preserve and improve the quality of at-risk dedicated affordable rental housing, as well as "naturally occurring" affordable housing properties in deteriorating condition or at risk of conversion to market rate

Additional investment priorities for the Development and Preservation Fund include increasing housing ecosystem capacity; increasing accessibility; increasing housing stability; expanding housing options; supporting equity and housing justice; supporting innovation and best practices; and supporting collaborative partnerships.

The first round of funding launched in August 2022 through a partnership between Front Porch Investments and the City of Omaha, who invested $20 million in American Rescue Plan Act (ARPA) funds that are being matched by $20 million in philanthropic contributions. Funds will be allocated across multiple biannual funding cycles, including the current round.

Funding Cycle Overview

Given our partnership with the City, this cycle of the Development and Preservation Fund is solely focused on funding mixed-income and affordable housing projects (or phases of projects) at 120% AMI or lower that fall within the boundaries of Omaha, in addition to affordable housing programs. Affordability requirements will apply, including a minimum 20 to 25-year affordability period for all ARPA-funded loans based upon term length.

Eligibility

_You can learn more about this opportunity by visiting the funder's website._

* Applicant Eligbility:
* For-Profit Developers:
* Loans Only
* Nonprofit Organizations:
* Loans and grants; May apply for both a loan and grant for the same project
* All applicants will need to provide an active Unique Entity Identifier (UEI).
* Eligible projects and programs include but are not limited to: 
* Development of rental and for-sale affordable housing options in Omaha
* The creation of affordable housing in areas near job centers and transit
* Acquisition and/or rehabilitation of current structures for adaptive reuse into affordable housing and mixed-income housing units
* Gap financing for the development of new affordable housing and preservation of existing stock
* Programs that support access to affordable housing
* Programs that support workforce development across the affordable housing sector
* Transformative and innovative or pilot projects that serve as catalysts in neighborhood revitalization
* This round will accept proposals for:
* Long-Term Project Loans:
* Focus:
* Affordable housing development and preservation projects
* 20 to 25 years; ARPA-funded – pending City Council approval
* 2% fixed interest rates for all borrowers (for-profit and nonprofit)
* Loan guarantee requirements apply for for-profit borrowers
* Up to $7 million available
* Expected to close by December 31, 2023
* Short-Term Project Loans
* Focus:
* affordable housing development and preservation projects
* 3 years or less; privately funded
* 2% fixed interest rates for for-profit borrowers; 1% fixed interest rates for nonprofit borrowers
* Eligible loan types: Pre-Development, Acquisition, Construction, Bridge
* Up to $4 million available
* Expected to close by December 31, 2023
* Project Grants
* Nonprofit organizations only; privately funded
* Focus: Affordable housing development and preservation projects
* Request types: Specific component of a current housing project; Funding to address valuation gaps; Planning grant for a future housing project
* Up to $2 million across both project and program grants combined
* Program Grants:
* Nonprofit organizations only; privately funded
* Focus: To expand the parameters or capacity of a current program and/or support the launch of a new pilot or program
* General operating requests are not eligible in this round
* Front Porch must be the sole funder of the specific program component(s) in your request
* Up to $2 million across both project and program grants combined

Ineligibility

* The percentage of market-rate units in a mixed-income project cannot utilize ARPA funds.
* While we can fund projects that include them, Front Porch funding is restricted to supporting only those in affordable AMI brackets at or below 120% AMI.