Galveston Essential Workforce Housing (GEWH) Fund

The GEWH Fund is a mission-driven capital fund created to support the development of workforce housing on Galveston Island. It is a statutory Delaware public benefit limited liability company formed by Build Galveston, a nonprofit community development corporation.

Purpose & Mission

Primary Goal: Create a $5,000,000 source of capital to support the development of workforce housing in Galveston, with objectives to:

• Support development of 150 additional residential units of attainable workforce housing over 5 years
• Enable workforce members (first responders, teachers, healthcare workers, young families) to afford to live in healthy neighborhoods on Galveston Island
• Increase supply and affordability of workforce housing to strengthen the entire Galveston community

Geographic Scope

Location: Galveston Island, Texas

Focus Areas & Eligible Housing Types

The Fund supports:

• Single family rental housing
• Multi-family rental housing
• Single family homeownership
• Mixed-use residential real estate development projects
• Industry or employer-specific workforce housing programs (e.g., programs for teachers, police officers)

Target Population

Workforce Housing Definition: Residential units targeted for households earning between 80% and 120% of Area Median Income (AMI). Developments may include some units eligible for housing subsidies but this is not required.

Beneficiary Groups:

• Area residents and business owners
• Employees and potential employees of area businesses
• Homeowners, potential homeowners, tenants, and prospective tenants
• First responders, teachers, healthcare workers
• Young families
• Those benefiting from services provided by educated workforce

Background & Need

Key Statistics:

• More than 65% of island workers (approximately 21,255 people) commute from off-island
• 50% of Galveston residents have a housing cost burden (income to housing cost ratio too high)
• Persistent lack of investment in parts of Galveston with associated social issues
• Shortage of attainable workforce housing is a primary cause of family loss from the island

Investment Strategy

Fund Type: Source of "patient capital" and gap lender providing below market-rate loans

Loan Terms: 5-year loans at 2% interest rates

Standard Loan Product Features:

• Unsecured/Subordinated Debt
• Targeted Below Market Interest Rates
• Lower Than Standard Origination Fees
• Higher Than Standard Loan-To-Value Ratio
• More Flexible Borrower Credit Standards
• Lower Than Standard Debt Service Coverage Ratio

Funding Approach: Leverages limited resources by:

• Attracting other private and public resources
• Supporting projects with smaller weight on GEWH Fund resources
• Acting as "gap" lender bridging shortfall in available commercial financing

Contact Information

Email for Inquiries: info@buildgalveston.com

Email (General): connect@buildgalveston.com

How to Apply

Application Process:

For project sponsors interested in accessing GEWH Fund capital:

1. Contact Build Galveston to discuss how your project might tap into the GEWH Fund
2. Submit project inquiry with relevant details about your workforce housing development
3. Work with Fund team to structure financing that meets both GEWH Fund principles and project needs

Required Information (based on Fund structure):

While specific application materials are not detailed on the website, prospective applicants should be prepared to discuss:

• Project location on Galveston Island
• Housing type (single family rental, multi-family rental, or single family homeownership)
• Number of residential units
• Target income levels for residents (80-120% AMI preferred)
• Project timeline and financing needs
• Sponsor experience and qualifications
• How the project aligns with GEWH Fund principles

Contact for Application Information:

Phone: (409) 240-9177

Email: info@buildgalveston.com