1 / 21

NCDA Annual Conference June 2016

NCDA Annual Conference June 2016. Mill Cities Community Investments Presentation by James Barnes, Lawrence MA Community Development Director. History of Lawrence, Mass. Founded in 1845 by the Essex Company as a planned industrial city. Lawrence Facts. 7 square miles

wadams
Download Presentation

NCDA Annual Conference June 2016

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. NCDA Annual ConferenceJune 2016 Mill Cities Community Investments Presentation by James Barnes, Lawrence MA Community Development Director

  2. History of Lawrence, Mass. Founded in 1845 by the Essex Company as a planned industrial city

  3. Lawrence Facts • 7 square miles • Population 72,043 (2000) to 76,377 (2010), and 77,312 in 2012 • 76 % Latino • Median Household Income: $32,581 in 2013 compared to $67,888 for state and $49,452 for Lowell • 30% Homeownership Rate

  4. More Lawrence Facts • Unemployment Rate Twice State Average • Every census tract except one >51% Low/Moderate Income Population • Annual CDBG = $1.7 Mil down to $1.3 • Annual HOME = $1 Million down to $.6

  5. The Mill Cities Community Investments Story

  6. 2001 CDC Director in Lowell has an Idea • Traveled to conferences via NeighborWorks • Learned about CDFI’s • Had some leftover grant money – used for equity stake plus loan, the business was a success and grew • How to duplicate? TA grant from CDFI

  7. 2002 • Change in leadership and direction at CDC • Executive Director joins local bank • CDFI idea not pursued

  8. 2006 CDFI Idea Revisited • Leaders from two Community Development Corporations • Coalition for a Better Acre – Lowell • Lawrence CommunityWorks - Lawrence • Reaction to Foreclosure Crisis • Looking for a tool for helping troubled homeowners refinance healthily • Regional Approach to Meet a Population Threshold – Lowell & Lawrence

  9. First Steps • Recruited Advisory Board • Wrote Expansion Grant Application to NeighborWorks • Obtained Seed Funding and some small lines of credit

  10. 2007 Banker Returns to Take Helm • Returned Director and Lawrence Housing Activist co-write application for CDFI status. • But landscape has changed – housing market showing some cracks • Mission of two CDC’s – housing focused • Response to foreclosure crisis • Emphasis was on housing

  11. 2008 Started with $100,000 to invest and 6 month operating budget • Fundraising goal of $250,000 • Idea to revolve the first $100,000 until CDFI came through

  12. 2011CDFI Funds Approved • $600,000 • Home Improvement Loans and Down Payment Assistance

  13. 2013 • MCCI becomes Mass Housing “Get the Lead Out” Lender • Became Number One Mass Housing Lead Lender in State • 56 Lead Loans in Portfolio

  14. 2014 • Small Underwriting Contract for Lawrence Small Business Loan Program – CDBG • Demonstrated to the Board that Mill Cities could handle Business Loans

  15. 2015 - Lawrence Partnership Created • Banks want to lend • Need some level of guarantee • CDBG provides 10% loan guarantee • Bankers ask Mill Cities to do the Underwriting • And finally Mills Cities is doing what founder hoped to do back in 2001

  16. Conclusions • Visionaries to create something • Key player to carry it out • Strong, supportive board to sustain it • Change and growth are slow and incremental

More Related