Building a Foundation of Equity,
Opportunity and Inclusiveness

Terry Simonette CEO - Capital Impact Partners

As Capital Impact’s new CEO, I am incredibly excited to take this opportunity to both look back at 2015 and to expound on our new five-year vision to 2020.

Over the past year, we continued to build upon the organization’s strong financial position, deep partnerships, and innovative product development. We provided ongoing leadership in the health care space, helped a number of charter schools expand their educational offerings, and saw several of our projects come online across Detroit. We also launched two new lending initiatives that will expand access to healthy foods and support age-friendly communities.

Through our efforts, we will work to address systemic poverty, build equitable opportunities, create healthy communities, and ensure inclusive growth.

At the same time, two of our long-time programs saw fresh beginnings. After working to build and scale the Green House model for dignified long-term care and the Cornerstone Partnership to expand affordable housing, those initiatives became self-sufficient, independent organizations.

You'll see the impact of our work throughout the year first hand when you meet Yesenia Franco, a proud mother whose daughter has already chosen her college—even though she is still an elementary school student at Equitas Academy. Our impact can also be seen through visiting Unity Health Care with Michele Reynolds, who, along with her neighbors in Washington D.C.’s Ward 5, now has access to quality care. You will also experience the kindness of Meals on Wheels volunteers in Texas who bring hot meals to Kajl, an accomplished chef no longer able to prepare all his own meals.

As impressed as I am with the impact we had in 2015, I’m equally excited about what lies ahead. This year marks the launch of our new five-year strategy. Core to that effort is working with all of you to build a nation of communities built on a foundation of equity, opportunity and inclusiveness. It is an appropriate North Star for our ambitious agenda.

Through our efforts, we will work to address systemic poverty, build equitable opportunities, create healthy communities and ensure inclusive growth.

This will require us to expand our lending and implement new capitalization efforts that broaden our reach. We also plan to incubate, advocate and scale new and promising ideas through our policy to practice work. The following report will provide you with our initial roadmap.

I look forward to continuing Terry Simonette’s legacy. I am excited to join my colleagues in taking the bold steps necessary to find new ways to address the social and economic justice issues that impact underserved communities. I sincerely hope that you join us in shaping a new tomorrow.

2015 Impact Highlights

$131 Million Closed Loans

People Served

Jobs Created

4,500 Students

87,000 Patients

Healthy Food:
61,000 Customers

Financing That Supports Connections

Scott Sporte Chief Lending Officer - Capital Impact Partners

At Capital Impact Partners we put money to work, focusing our efforts on the best ways to use dollars to achieve powerful outcomes. Our lending work at Capital Impact Partners in 2015 increased more than 17 percent over 2014 —a success that we celebrate in the present as we look ahead to new levels of accomplishment. This lending volume is a source of strength as it supports our organization financially while simultaneously reinforcing communities with increased access to critical housing, services and employment opportunities.

The new Michigan Good Food Fund uses financing to increase equitable access to fresh, healthy food. The Fund focuses on reducing food deserts in cities like Detroit and Flint as well as rural areas north of the Mackinac Bridge. It also supports producers of locally grown fruits and vegetables as entrepreneurs and employers.

Our new Age Strong Investment Fund, developed in partnership with the Calvert Foundation, AARP and AARP Foundation, connects the burgeoning world of impact investing with high impact organizations to provide needed services to low-income people aged 50 and up. With Age Strong, an investment as small as $20 that could be quietly earning interest in a bank is instead put to work constructing housing and providing access to health care for very low-income seniors in rural Colorado. That investment is also helping to eliminate a Philadelphia food desert so that closer proximity to food and community services enables more seniors to remain in their homes as they age.

We have also put our shoulder to the wheel in partnership with the Low Income Investment Fund and Reinvestment Fund to utilize the CDFI Bond Guarantee Program. This program benefits a KIPP school in Camden, New Jersey that constructed a new school for more than 1,000 pre-K through 8th grade students. This school provides high-quality educational options for neighborhoods whose traditional public schools are closing.

Our new lending strategy intends to make money work harder, achieving even deeper levels of impact in and across communities.

In Detroit, projects in the Woodward Corridor Investment Fund and Detroit Neighborhoods Fund began opening their doors to people from a mix of income levels, using our lending as a tool to transform vacant, blighted buildings into vibrant homes near transportation and services for existing and new Detroit residents.

The following sections of this report celebrate those accomplishments and their powerful impact on communities as we simultaneously look ahead to the next five years. Our new lending strategy intends to make money work harder, achieving even deeper levels of impact in and across communities.

As the accompanying graphic illustrates, our loans support connections. A loan to a community health center provides a new point of access for primary care. It also allows a senior to use the services of that nearby center to be healthier and remain at home longer. A loan to a retail grocer increases that retailer’s purchases of locally grown produce that in turn creates jobs and economic opportunity. Financing to a new apartment building in Detroit builds safer, walkable, mixed-income communities and local demand that supports retailers and other job-creating employers.

We accomplished much in 2015 and know that our diligent effort will lead to even more in the years to come. We are grateful to our partners and thank them for joining us as we look ahead to 2020.



Address systemic poverty:

Effect systemic change at scale – from social systems to government programs – so that all people have paths out of poverty.


Create Equity:

Support equitable access to quality services and economic opportunity regardless of race, ethnicity, gender, or income.


Build Healthy Communities:

Foster connections and social supports that strengthen the links between health, education, housing and opportunity that help people and communities thrive together.


Promote Inclusive Growth:

Build diverse, mixed-income communities that promote economic mobility and empower individuals to break the barriers to success.

2020 Strategy Roadmap

Implement lending efforts that support connections and impact across multiple sectors simultaneously

Advance equitable growth and access through local, state, and federal advocacy

Establish “Policy to Practice” capability that supports innovation within our business sectors as well as across CDFI Industry

Convene cross-sector leaders, establish partnerships, and expand technical assistance programs that scale innovative practices

Strengthen financial position through expanded lending, capital diversification and impact investing strategies

Health Care

Our 2020 Focus: Support health care delivery innovations that are focused on prevention and whole person well-being


Age Strong
CPCA Venture Loan Fund
Healthier California Fund

“We’re confident that we’re going to get quality care, and that’s so important.”
-Michelle Reynolds
Patient, Unity Health Care, Washington D.C.

Witness how Unity's New Health Center is Transforming Lives


Our 2020 Focus: Create more high-quality schools that deliver excellent educational outcomes for low-income students


Bond Guarantee Program
New Markets Tax Credit Program

"We’re not negotiating if you’re going to college, it’s which college you’re going to.”
-Malka Borrego
Executive Director, Equitas Academy, Los Angeles

Meet the (Future College) Students of Equitas Academy

Dignified Aging

Our 2020 Focus: Strengthen older adults’ ability to age in their community by applying an aging lens across all of our lending programs


Age Strong

"This program has made all the difference in my life."
Recipient, Tarrant County Meals on Wheels Program
Tarrant County, Texas

Delivering Food and Friends to Those in Need

Healthy Food

Our 2020 Focus: Increase access to fresh and healthy food by expanding our work in food distribution, processing and production while maintaining support for neighborhood retailers


California FreshWorks Fund
Michigan Good Food Fund
National Co-op Grocers Loan Fund

“This store makes me feel like we are not forgotten.”
Customer, Imperial Fresh Market, Detroit

Stroll the Aisles of Imperial Fresh Market's Healthy Offerings

Place-based Revitalization

Our 2020 Focus: Help revitalize and stabilize markets in Detroit’s investment-ready neighborhoods by supporting equitable mixed-use, mixed-income development


Detroit Neighborhoods Fund
Woodward Corridor Investment Fund

"We hope Detroit may ultimately prove to be a model city for inclusive and equitable economic development."
-Bradford Frost, Capital Impact Partners, Detroit

What does Inclusive Growth Look Like? Watch the Video.

Cooperative Development

Our 2020 Focus: Develop food, worker, and housing co-ops through expanded national technical assistance programs, peer networks, and capital delivery


National Cooperative Grocers Fund
Co-op Innovation Award

“This idea has potential to gain a momentum of its own to be self-generating and sustaining.”
-Melissa Hoover, Executive Director, Democracy at Work Institute

Witness Co-op Innovation In Action

Affordable Housing

Our 2020 Focus: Foster affordable housing efforts that offer opportunities to build assets while preserving long-term affordability


Age Strong
Detroit Neighborhoods Fund
Woodward Corridor Investment Fund

“The co-op model of ownership is an excellent solution to a basic problem.”
-Paul Bradley, President, ROC USA

Join Paul's Affordable Homeownership Crusade

Covering Our Impact


Revitalizing Urban Neighborhoods

Numerous studies released in 2015 reveal a substantial and significant “neighborhood gap” – the quality of life differences that exist between neighborhoods. Two leading business authors highlighted the work of Capital Impact to close this gap in this Huffington Post “Profit + Purpose” column.

Learn More


The Policy Behind the Investing Behind That New Neighborhood Grocery Store

While Capital Impact is a mission-driven lender, often much more than financing is required to ensure good projects get launched. As this Next City article illustrates, that effort also extends to the “grunt work” of advocating for federal and state policies that make these deals workable for a wide variety of borrowers.

Learn More


Kresge Foundation CEO Highlights Work of Capital Impact

A leader in community investment, the Kresge Foundation is at the forefront of Detroit’s revitalization. In this Q&A, Rip Rapson, the organization’s president and CEO, highlights Kresge’s support of Capital Impact and our long-time leadership in financing projects that support inclusive growth and access for all Detroiters.

Learn More


A Different Spin on a Market-Based Approach

More foundations are moving out of their traditional philanthropy role to take on impact investing and support investments that deliver both financial returns and social impact. This Stanford Social Innovation Review highlights Capital Impact’s Age Strong Investment Fund as a top example.

Learn More


Op-Ed: Capital Magnet Fund Creates ‘Bang for the Buck’ in Affordable Housing

The U.S. Treasury’s Capital Magnet Fund leverages private capital to support affordable housing and job creation in underserved communities. Yet there is an uphill fight in Congress to keep this effort funded. In this Op-Ed, Capital Impact’s CEO joins with fellow CDFI partners to make the case for this valuable program.

Learn More


Op-ed: Michigan Deserves a Better Food Future

Though food and agriculture contribute $100 billion annually to Michigan’s economy, too many of the state’s low-income and rural residents lack reliable access to healthy food. In this Op-Ed, Capital Impact’s former CEO explains how our Michigan Good Food Fund is financing a range of projects to help solve this issue.

Learn More

Blog Highlights


Launching Innovate for Impact

Capital Impact Partners’ CEO, Terry Simonette, celebrates the launch of our Innovate for Impact blog, and details the preparations for his retirement.

Learn More


The Values that Guide our Work

Capital Impact Partners is guided by six values. As Human Resources Director Tiffany Rogers explains, these values shape our culture and inspire us to do our best every day.

Learn More


California Health Clinics and Financing to Meet ACA Implementation

As the Affordable Care Act brings more patients into California health clinics, Chief Lending Officer Scott Sporte explains our Healthier California Fund and how it can help finance health clinic expansion.

Learn More


Collaboration for Co-operative Improvement

Oregon’s First Alternative Cooperative grocery store recently finished renovations and improvements financed by Capital Impact through a partnership with the National Cooperative Grocers that operates much like a co-op.

Learn More


A Holistic Approach to
Healthy Food Financing

Improving access to fresh, nutritious foods in low-income communities can help people improve eating habits and prevent diet-related diseases. Our new report, Financing for Healthy Foods, discusses how healthy food access can improve not only health, but also improves local economies by launching businesses, creating jobs, and generating state and municipal tax revenues.

Learn More


What does it mean to Age Strong?

Capital Impact Partners joined with the AARP Foundation and Calvert Foundation to create the Age Strong initiative. Our goal is to build a first of its kind program that enables all of us – whether individuals or retail operators or philanthropic enterprise – to support strong and vibrant communities that can help low-and-moderate income individuals who are 50 and older to age with dignity, independence, and security.

Learn More

Expanding and Diversifying our Capital Base

Caroline Bauer - Capital Impact Partners

Driven by another year of strong lending, Capital Impact ended 2015 with a solid financial position. The organization’s overall portfolio increased by $22 million or 11 percent. This growth was matched with continued strong credit performance, as our delinquency rate was just 0.4 percent. Once again, our focus on financial strength and social impact was rewarded with AERIS’ highest possible rating of AAA+1. This honor pleases us greatly.

Top-line revenue continued to grow as well. Unrestricted net assets rose by $17 million—an increase of 20 percent. Total net assets saw an expected decline as a result of launching our Green House and Cornerstone Partnership programs and the accompanied grant revenue that was used to fund those activities.

Now, as we begin to implement our 2020 Strategy, we will continue efforts to strengthen our financial position by bringing our lending more on balance sheet, actively managing expenses and implementing capitalization strategies to improve margins.

We will continue to develop and diversify our capital base by building on our Federal Home Loan Bank of Atlanta membership to scale access to flexible capital. Also, we will explore ways to attract impact investors as a means to bolster our social impact while allowing for the ability to provide relevant returns to investors.

As we begin to implement our 2020 Strategy, we will continue efforts to strengthen our financial position by bringing our lending more on balance sheet, actively managing expenses and implementing capitalization strategies to
improve margins.

We have seen incredible success with these types of programs that raise capital for international projects. And, we intend to harness that same interest domestically as a means of creating access to the critical services that underserved communities need to thrive. Ultimately, we believe these efforts will help us in expanding our reach and impact by 2020.


2015 (AS OF DECEMBER 31) AND 2014

Assets ($ Millions) 20152014
Cash and cash equivalents - unrestricted$21,896,663$22,973,465
Cash and cash equivalents - restricted35,776,05239,260,027
Accounts and interest receivable 2,123,122 1,990,401
Contributions receivable 852,811 12,296,545
Investments 4,700,914 4,754,555
Investment in joint venture 2,660,888 2,660,793
Loans receivable 180,574,691 164,914,807
   Less: allowance for loan losses -9,374,669 -9,177,796
     Loans receivable, net 171,200,022 155,737,011
     Loans receivable - subsidiaries 41,854,452 35,421,220
Other assets 2,728,996 2,715,301
Total assets $283,793,920 $277,809,318
Liabilities and Net Assets
   Accounts payable and accrued expenses $4,045,327 $4,028,078
   Revolving line of credit 32,800,000 24,950,000
   Notes payable 61,250,300 67,637,569
   Subordinated debt 10,718,000 8,218,000
   Bond loan payable 5,859,705
   Notes payable - subsidiaries 41,291,448 35,436,546
     Total liabilities 155,964,780 140,270,193
Net Assets
   Unrestricted 101,244,487 84,554,160
   Temporarily restricted 25,097,178 51,497,490
   Permanently restricted 1,487,475 1,487,475
Total net assets127,829,140 137,539,125
Total liabilities and net assets $283,793,920 $277,809,318

Board Of Directors


Housing Partnership Network


PRL, Inc.


Level Playing Field Institute




Kentucky Highlands Investment Corporation


F.B. Heron Foundation


Council of New York Cooperatives and Condominiums


National Cooperative Bank


Excellent Schools Detroit


PricewaterhouseCoopers LLP


National Cooperative Business Association (NCBA CLUSA)

Our Partners

Funders and Donors

  • AARP
  • Archstone Foundation
  • Appleton Foundation
  • Bill and Melinda Gates Foundation
  • Cooperative Development Foundation
  • First 5 Los Angeles
  • Ford Foundation
  • Harry and Jeanette Weinberg Foundation
  • JPMorgan Chase Foundation
  • Kaiser Foundation Hospital Fund for Community Benefit Programs at the East Bay Community Foundation
  • Kaiser Foundation Hospitals California Southern Region
  • Kresge Foundation
  • Koret Foundation
  • Living Cities
  • The Mousetrap Foundation
  • National Housing Institute
  • Nationwide Foundation
  • Ohio Community Development Loan Fund
  • Ohio Community Development Finance Fund
  • Foundation
  • Social Innovation Fund | Corporation for National and Community Service
  • SCAN Foundation
  • The Robert Wood Johnson Foundation
  • U.S. Department of Education


  • AARP Foundation
  • Bank of America
  • California Community Foundation
  • Calvert Social Investment Foundation
  • Deutsche Bank
  • Dignity Health
  • Federal Home Loan Bank Atlanta Cooperative
  • JPMorgan Chase
  • Living Cities Catalyst Fund
  • Max M. & Marjorie S. Fisher Foundation
  • Metropolitan Life
  • Merrill Lynch
  • Morgan Stanley
  • Northern Trust
  • Opportunity Finance Network
  • PNC Bank
  • Prudential Social Insurance Program
  • Rasmuson Foundation
  • Self-Help Credit Union
  • The California Endowment
  • U.S. Bank Community Development Corporation
  • U.S. Department of Treasury CDFI Fund
  • U.S. Department of Treasury | Small Business Lending Fund
  • W.K. Kellogg Foundation
  • Wells Fargo Bank


  • Alzheimer’s Association
  • American Health Care Association
  • American Medical Directors Association
  • Arkansas Division of Aging & Adult Services
  • Beneficial State Bank
  • California Department of Health Services
  • California Charter Schools Association
  • California Primary Care Association
  • California School Finance Authority
  • Capital Link
  • Center for Community Progress
  • Centers for Medicare and Medicaid Services
  • CFED
  • Chi Partners
  • City of Detroit
  • Clearinghouse CDFI
  • CoMetrics
  • Community Development Association of Detroit
  • Community Health Center Capital Fund
  • Community Reinvestment Fund
  • Data Driven Detroit
  • Detroit CDFI Coalition
  • Detroit Development Fund
  • Detroit Economic Growth Corporation
  • Detroit Future City
  • Democracy at Work Institute
  • District of Columbia, Office on Aging
  • EdTec
  • ExED
  • Fannie Mae
  • Federal Housing Finance Administration
  • Federal Reserve Bank of San Francisco
  • Flagstar Bank
  • Freddie Mac
  • Grantmakers for Effective Organizations
  • Habitat for Humanity International
  • Housing Partnership Network
  • Harvard University Initiative for Responsible Investment
  • ICA Group, Inc.
  • IFF
  • Impact Community Capital
  • Innovative Housing Institute
  • Invest Detroit
  • Kirwan Institute
  • Leading Age
  • Liberty Bank
  • Local Initiatives Support Corporation
  • Low Income Investment Fund
  • Michigan Economic Development Corporation
  • Michigan Lending Solutions
  • Midtown Detroit, Inc.
  • National Association for County Community and Economic Development
  • National Association of Housing and Redevelopment Officials
  • National Association of Local Housing Finance Agencies
  • National Association of Realtors
  • National Community Land Trust Network
  • National Co-op Grocers
  • National Cooperative Bank, NA
  • National Cooperative Business Association
  • National Council of State Housing Agencies
  • National Fair Housing Alliance
  • National Family Caregivers Association
  • National Housing Conference & Center for Housing Policy
  • National Housing Institute
  • National League of Cities
  • NeighborWorks America
  • Nonprofit Finance Fund
  • Northern California Community Loan Fund
  • Northern Initiatives
  • Ohio Administration on Aging
  • Partners for the Common Good
  • PolicyLink
  • PHI National
  • Pioneer Network
  • Reinvestment Fund
  • Rural Community Assistance Corporation
  • Seattle Investment Fund
  • Self-Help Credit Union
  • The Eden Alternative
  • The Partnership for Working Families
  • University of Detroit Mercy
  • U.S. Department of Housing and Urban Development
  • U.S. Federation of Worker Cooperatives
  • Urban Institute
  • Wespath Division of the General Board of Pension and Health Benefits of The United Methodist Church

Farewell, But My Committment Continues

Terry Simonette CEO - Capital Impact Partners

As I think about my 32 years with Capital Impact Partners, I am overwhelmed when I consider the thousands of stakeholders that have made contributions to our work of helping people and communities across the country reach their highest potential.

This army of people and organizations, all part of the ongoing and thriving community development finance sector, includes partners who have worked shoulder-to-shoulder with us; investors whose capital participation helped us stand up a strategy that continues to generate high impact outcomes; foundations whose contributions increase our capacity and enable transactions that otherwise would not be possible; and our many board members whose selfless contribution of their time and talent helped to guide us in our endeavor. In my mind, they are our real heroes.

I count myself exceptionally fortunate to have been part of this group of people across the country who continue to stand up for social justice and who imagine a world that enables all of us to succeed.

And finally, let me single out our hundreds of staff members. These tireless individuals have dedicated their commitment and leadership to our industry. They have breathed life into our collective vision of creating a nation of communities built on a foundation of equity, opportunity and inclusiveness.

The more than 1,000 Community Development Financial Institutions in the country come in all shapes and sizes. Capital Impact Partners holds a unique niche because of our unusual beginnings with a credit culture and track record that has been built on financial rigor and discipline. We hold a continuing commitment to the cooperatives and other forms of democratic ownership and all that they achieve for their stakeholders. We have an ongoing appetite for and investment in innovations that have certainly driven our organization to excel and also provided important leadership and impetus for our industry.

Terry Simonette CEO - Capital Impact Partners I count myself exceptionally fortunate to have been part of this group of people across the country who continues to stand up for social justice and who imagines a world that enables all of us to succeed. I certainly will be farther back in the ranks of this army in the future, but for sure, I will continue to be a proud member of this movement and support it in every way that I can.

Thank you for the opportunity to know and work with all of you. It has meant more to me than you can imagine.