California Summer 2019: Regional Housing Flexible Fund │ Our Continued Impact │ Meet Our Local Team │ Where You Can Meet Us

 

Working within our communities has shown us that justice and empowerment move individuals and families forward by giving them access to programs and initiatives that help them to thrive. Through the end of 2018, Capital Impact invested more than $35 million in projects to develop a path to opportunity for California residents. In 2019, we continue to invest in innovative ideas with partners to promote economic mobility, racial justice, and shared prosperity across the state.

Preserving and Producing Affordable Housing for Bay Area Communities

Across the country, communities are experiencing an affordable housing crisis. In the San Francisco Bay Area, the crisis is particularly acute: in 2017, the Bay Area added more than 50,000 jobs, but only added 15,000 housing units. Today, two full-time workers making $15 per hour – around $62,000 per year – can only afford to live in 5 percent of the region’s neighborhoods.

Last week, Oakland Mayor Libby Schaaf joined Capital Impact, Local Initiatives Support Corporation, and the Corporation for Supportive Housing to give an overview of the Regional Housing Flexible Fund, which is the Investment Fund of the new $500 million Partnership for the Bay’s Future. The Partnership aims to address the housing crisis in the Bay Area. 

As part of the Partnership, Capital Impact has committed $50 million in flexible, mission-driven capital to increase access to affordable housing through the Regional Housing Flexible Fund. Our Community Development Financial Institution (CDFI) partners at LISC and the Corporation for Supportive Housing, as well as a variety of philanthropic donors, are also contributing to this Fund to maximize its impact. Through this effort, we are working in partnership to expand and protect up to 175,000 homes over the next five years and preserve and produce more than 8,000 homes over the next five to 10 years across the region.

In order to increase the supply of affordable housing and foster economic development, we will engage with mission-driven developers, community groups, neighborhood associations, and local partner organizations. Our community-led, inclusive growth strategies will help ensure that residents can live close to employment, shopping, and critical social services.

For more information about the Fund and our affordable housing work, reach out to Fathia Macauley at fmacauley@capitalimpact.org.

Continuing Strong Community Impact Across the State

High-quality health care is a critical element of healthy, prosperous communities. Through our work as a mission-driven CDFI, we have supported 50 percent of the Federally Qualified Health Centers (FQHCs) in California. FQHCs provide vital and comprehensive care for families that otherwise struggle to cover the high cost of health care.

South Central Family Health Center (SCFHC) in Los Angeles provides approximately 21,000 patients in its South Central community with comprehensive services, including primary care, dental care, behavioral health services, women’s health and prenatal care, vision care, pediatrics, pharmacy services, and wellness classes and health education. Ninety-nine percent of patients live below 200 percent of the federal poverty level and 90 percent live below 100 percent below of the federal poverty level. Many in the community have high blood pressure and diabetes. SCFHC provides high-quality health care to its clients, routinely earning high marks for service. SCFHC serves 25 percent of the local market because of its quality of care.

To address the high need for optometry services, Capital Impact provided a $500,000 loan through our California Primary Care Association (CPCA) Ventures Fund for the renovation of a building to create a new 4,200-square-foot vision care center. This new building stands directly across the street from one of SCFHC’s existing health centers, which Capital Impact also helped to finance. The new facility will create 5 construction jobs and 10 full-time positions, while filling a gap in care for the more than 8,300 patients that the clinic will serve.

La Clinica de la Raza is an FQHC that serves nearly 87,000 clients from 35 sites across the San Francisco Bay Area, many of whom experience considerable economic burden. Fifty-nine percent of its clients earn at or below the federal poverty level.  La Clinica currently serves approximately 15,000 patients out of five leased clinic locations in Vallejo, a city that has seen historical disinvestment and an economic downtown. Working out of five locations makes it inefficient for its staff to connect primary care services with behavioral health, dental, and the many other medical services that it provides.

To increase its capacity and better serve its clients, La Clinica is renovating a blighted building to become the new 26,000 sq. ft. home for its medical services in Vallejo. The renovation will not only enable the organization to expand its services and serve more patients, but also increase quality through integrated services. Capital Impact provided $9 million out of an $18 million New Markets Tax Credit transaction, which will support the revitalization of Vallejo; Northern California Community Loan Fund provided the other $9 million, with US Bank serving as source lender and tax credit investor.

Through Capital Impact’s Healthier California Fund, Harbor Community Clinic (HCC) has been able to expand its pediatric services in the Los Angeles neighborhood of San Pedro. Many in this community are uninsured or underinsured and HCC provides a health care safety net that would not otherwise exist. More than just a provider of primary care and pediatrics, HCC offers dental care, as well as behavioral health and respiratory services. In addition, HCC employs many local residents, which enables community members to earn a decent wage for their families and build wealth.

Through a $2.7 million loan from Capital Impact, HCC is renovating a 7,878-square-foot building that will house its pediatric care services. As HCC sees more than 1,500 children each year, Capital Impact’s financing allows HCC to leave its previous constrained space to provide more comprehensive and dignified services in a new facility.  

In South Los Angeles, which is listed as a medically underserved area, Martin Luther King Jr. Community Hospital provides critical inpatient, emergency, and outpatient care that local residents need. Its service area contains 1.3 million people, which has strained its emergency room staff. To provide a higher-quality experience for clients, MLK needed additional space to provide adequate post-discharge care.

Using $8 million in a New Markets Tax Credit allocation from Capital Impact, MLK is creating its Martin Luther King Jr. Wellness Center, a new 44,500 sq. ft. building on its campus which will house a variety of primary and specialty care providers. MLK will operate directly out of 21,200 sq. ft. and will lease the remainder of the space to a pharmacy and tenants providing dialysis, wound care, and other medical services.

Find out more about Capital Impact’s investments throughout California in 2018.

Meet Our Local Team

Andy King, Senior Loan Origination Officer
Andy King joined Capital Impact Partners in February 2019, based in our Oakland, CA office. Andy prepares and negotiates loan proposals with borrowers and partners, structures and underwrites loan transactions, and manages the loan approval process from deal screening to loan approval. Prior to joining Capital Impact Partners, Andy worked for 15 years in the banking sector in community development lending, providing more than $1 billion of debt financing for affordable multifamily housing projects, comprising 3,000+ units in more than 100 projects. Andy looks forward to bringing his passion for affordable housing and community development to Capital Impact Partners’ work – including community health and education – to forge a path for social and economic equity for communities. Andy has a Bachelor’s degree from the University of California, Davis, and lives in San Francisco with his wife and (almost) 15-year-old son, and their dog Bailey.

Did you know?
Andy is an occasional hockey player. Ask him about a pick-up game!

Favorite Things to see and do in Oakland?
Anything with his wife and son. Outdoor favorites include enjoying San Francisco, occasionally embracing days as a tourist (even after 25+ years as a city resident) with a cable car ride, or a walk along the bay enjoying the Golden Gate Bridge view. Biking and hiking in one of Oakland’s parks are other family favorites. Additionally, Andy and his family pursue various cultural activities, from the San Francisco Opera (once) to a “surprise” Taylor Swift concert (yes, his idea, and it was great!) to a Monster Truck Jam…that one was the collective favorite!

Where You Can Meet Our Team

Meet the Capital Impact team at upcoming events across California! We will be attending and presenting at several conferences and events, including the following:

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