FOR IMMEDIATE RELEASE: 12/11/2024
Capital Impact Partners, HousingWorks Austin and the Reissa Foundation Award a $25,000 Grant to Deets Development, LLC to Increase Access to Affordable Housing in Austin, Texas
A proposed condominium building seeking to bring more affordable housing to the city of Austin has received a crucial $25,000 grant that will support pre-development efforts.
This early-stage capital is often the most difficult to secure. But with this grant funding, Deets Development LLC will be better positioned to move forward with Springdale Condos at the corner of Springdale Road and Rogge Lane in East Austin.
The proposed 76-unit condominium development spans approximately 75,000 square feet on 1.7 acres and will provide a vital mix of 38 affordable units and 38 market-rate units. Due to the rapid growth in East Austin, there is a great need for access to affordable housing for residents in the area. The option of reduced monthly condo fees for the affordable units will make homeownership feasible for more residents.
“We are very excited about bringing new ownership workforce housing to an area of Austin currently enjoying positive momentum in terms of new and quality affordable housing,” said Stephen Brown of Deets Development. “This generous contribution will allow us to review various feasibility scenarios, providing us with the best opportunity to deliver a thriving affordable community along the Springdale corridor.”
The grant, awarded by Capital Impact Partners and HousingWorks Austin, was funded by the Reissa Foundation.
Capital Impact Partners is a nonprofit mission-driven lender that works nationwide, including in Austin, as part of the Momentus Capital branded family of organizations. Springdale Condos’ emphasis on affordability aligns with Capital Impact Partners’ mission to promote equitable access to housing and support initiatives that address the pressing challenges of affordability and accessibility in urban areas.
Mr. Brown is one of 18 real estate developers who completed the Austin Small Developer Training program. The free, four-month program was held in 2023 and led by Capital Impact Partners and HousingWorks Austin, providing emerging, small-scale real estate developers with the tools they need to grow their businesses while creating more affordable housing. The program was hosted by the Austin Housing Finance Corporation, a non-profit corporation and instrumentality of the City of Austin, and supported by the Austin Community Foundation and PNC Bank.
“One way to help create more affordable housing for Austin’s residents is by empowering real estate developers who are from the community and work with the needs and desires of the community members in mind,” said Jeff Mosley, director of national developers programs for Capital Impact Partners. “The Austin Small Developer Training program provided developers with the three kinds of capital — knowledge capital, social capital, and pathways to financial capital — that will help them grow and succeed.”
This is the second grant awarded to an alum of the Austin Small Developer Training program. Earlier this year, a $25,000 grant was awarded to Nill & Santana Development LLC for a proposed project that would house up to 400 students by bringing 250 student residences, 75 of which will be affordable, to Austin’s West Campus Neighborhood.
“With this pre-development grant, Deets Development LLC is one step closer to addressing a critical housing need in our community. Once complete, this project will play a key role in expanding affordable ownership opportunities for Austinites who increasingly struggle to access homeownership in our city,” said Awais Azhar, executive director of HousingWorks Austin. “Without support from the Reissa Foundation, this grant would not be possible in providing pre-development funding to this project and ensuring that Austin remains an inclusive city with housing options for all.”
“Austin is experiencing a critical shortage of affordable housing that will require creative redevelopment of existing spaces to address. At Reissa Foundation, we recognize that pre-development funding empowers talented affordable-housing developers to explore a project and maximize its benefit to the community,” said Jordan Scott, trustee for the Reissa Foundation. “However, as pre-development occurs early in the funding cycle with no guarantee of a successful outcome, it’s often perceived as risky. Capital Impact Partners and their Small Developer Training Program instilled confidence and inspired us to help fund development of affordable housing.”
About Capital Impact Partners:
Capital Impact Partners, part of the Momentus Capital branded family of organizations, is transforming how capital and investments flow into communities to provide people with access to the capital and opportunities they deserve. As one of the nation’s leading mission-driven Community Development Financial Institutions, we champion key equity, social justice, and economic justice issues by deploying mission-driven financing, capacity-building programs, and impact investing opportunities.
Capital Impact Partners offers flexible financing for catalytic mission-aligned projects in four primary sectors: increasing access to health care, education, affordable housing, and healthy food.
In addition, we manage several multi-year initiatives in keys to support emerging developers, small business owners, cooperatives, and community health enterprises through training, professional networks, access to experts and mentors, and pathways to grants and loan capital.
Capital Impact Partners has disbursed over $3 billion since 1982 to create access to critical social services, grow entrepreneurs, and create quality jobs. Capital Impact Partners’ leadership in delivering financial and social impact has resulted in the organization being rated by S&P Global and Fitch Ratings and recognized by Aeris for its performance.
With headquarters in Arlington, Virginia, and San Diego, California, Momentus Capital operates nationally with a focus on larger urban areas and cities in Arizona, California, Georgia, Michigan, Nevada, New York, Texas, and the Washington D.C. metro area.
Learn more at capitalimpact.org and momentuscap.org.
About Reissa Foundation:
Reissa Foundation is a family foundation working for change in their communities. As a legacy of the RGK Foundation, they are committed to improving the lives of vulnerable populations in California and Texas.
About HousingWorks Austin:
HousingWorks Austin is a 501(c)(3) nonprofit organization. They advance their mission to preserve and increase the supply of affordable housing through research, education, and advocacy in Austin, Texas and the surrounding region, with a commitment to ensuring those most in need have access to safe and affordable housing. HousingWorks Austin is guided by the maxim, “All Kinds of Homes, in All Parts of Town, for All Kinds of People.”
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