KeyBank Community Development Lending and Investments (CDLI) provided a $20 million term loan to Enterprise Community Loan Fund Inc. (Enterprise) to support Equitable Path Forward, a $3.5 billion nationwide initiative to help dismantle the legacy of racism in housing.
Anchoring the initiative is a $350 million Growth Fund composed of loans, equity and grants, for Black, Indigenous and people of color (BIPOC) developers to support affordable and workforce housing projects across the United States. KeyBank’s partnership with Enterprise furthers its relationships with community development financial institutions (CDFIs), allowing financial institutions the opportunity to directly invest in projects that support racial equity in underinvested communities of color.
“This investment is an opportunity for KeyBank to advance efforts in minority communities through impactful investing and build on KeyBank’s successful Community Benefit Plan,” said Derek Reed, Vice President, KeyBank CDLI.
KeyBank’s Community Benefit Plan focuses on investments in affordable housing, mortgage and small business lending and renewable energy to improve access to education and workforce development, as well as safe and vital neighborhoods.
“KeyBank’s support is instrumental as we advance racial equity in the housing industry,” said Elise Balboni, President, Enterprise Community Loan Fund. “Partnerships like this directly support developers of color whose access to capital has historically been minimized. We appreciate KeyBank’s commitment to furthering racial equity.”
Derek Reed of KeyBank’s CDLI team structured the financing.