NeighborWorks Capital (NC) is a capital corporation that was created by the NeighborWorks affiliates to deliver financing solutions to NeighborWorks organizations (NWOs) engaged in real estate development. NC’s goal is to provide competitively-priced, fixed-rate financing solutions with flexible terms and quick turnaround.
NC delivers financing solutions to NWOs that support the development or operation of four project types:
- Rental housing projects, including new construction, acquisition, rehabilitation, and preservation, including re-capitalization and refinancing of projects owned by NWOs;
- Homeownership projects, including new construction, subdivision, manufactured, modular, acquisition, and/or rehabilitation;
- Mixed-use projects, involving rental or for-sale residential units combined with commercial uses, and;
- Commercial properties, including retail, office and community facilities.
NC makes the following types of loans to NWOs:
- Predevelopment for project-related costs and working capital needs;
- Interim development for property acquisition, construction/rehabilitation, bridge, predevelopment, and lines of credit; and
- Mini-permanent and Permanent for:
- acquisition, refinancing, critical repairs, and improvements of operating rental and commercial properties
- property improvement, including the installation of renewable energy systems
- acquisition of the general partner interest in low income housing tax credit properties
Many other CDFIs and loan funds originate loans on behalf of external investors based on a strictly defined set of criteria. NC’s approach is to raise loan capital from investors who are committed to community development and neighborhood revitalization (banks, foundations, NeighborWorks America, CDFI Fund and others) who are aligned with our mission, products, impact and strong portfolio management. This gives NC the ability to underwrite a loan based on the specific project needs, not the criteria of investors. Learn more about NC’s financing solutions and loan portfolio.