Florida Community Loan Fund, a statewide nonprofit lending institution, received a $3.7 million Equitable Recovery Program Award from the U.S. Department of Treasury Community Development Financial Institution Fund. FCLF will use the ERP Award to address the decreased availability of affordable housing for low-income families in majority minority communities, as a result of the COVID-19 pandemic.
Florida’s lack of affordable housing was well documented before the COVID-19 pandemic, consistently ranking as one of the worst states in the U.S. for low-income renters and homeowners. From 2020 to 2022, Florida saw a 40% increase in rental pricing, driven by several factors, including the influx of new residents to Florida, aggressive home purchases by investors, and escalating construction costs.
Access to affordable housing is exacerbated in majority minority neighborhoods – 45% of minority households are cost-burdened, spending more than 30% of income on housing and related costs, compared to 29% of white households.
The ERP grant will enable FCLF to build on its 28-year history of providing capital for community development in low-income areas, with a particular emphasis on minority communities across the state.
This CDFI Fund funding will be integrated into FCLF’s existing work to help provide more affordable housing by lowering borrowing costs for affordable housing developers.
The United States Treasury CDFI Fund distributed more than $1.73 billion to 603 Community Development Financial Institutions across the country to assist low- and moderate-income communities in recovering from the COVID-19 pandemic and investing in long-term prosperity. FCLF is one of 19 Florida awardees.
Florida Community Loan Fund is a nonprofit, multifaceted financing entity with a 28-year history of providing flexible capital and expertise to nonprofit and mission-aligned for-profit entities that benefit people and places in Florida who are economically disadvantaged. FCLF is a member of the Federal Home Loan Bank of Atlanta and a certified CDFI and CDE through the United States Department of Treasury.