About Us

NeighborWorks Capital is a national non-profit Community Development Financial Institution (CDFI) serving NeighborWorks organizations (NWOs). We bring financial, human, and intellectual capital at scale to under-resourced and marginalized communities and support NWOs to grow their work and impact.

WHO WE Are

NeighborWorks Capital is a national non-profit Community Development Financial Institution (CDFI) serving NeighborWorks organizations that work in all 50 states, the District of Columbia, and Puerto Rico. While we operate independently, we have strategic alignment with NeighborWorks America and work in partnership to advance our shared objectives.

We support NeighborWorks organizations to move their real estate development pipelines forward and increase their capacity to deliver affordable housing and other community development real estate by providing flexible, affordable, and responsive loan products for rental, for sale, and commercial real estate projects as well as organizational-level loans for capacity building and growth. We also serve the network in a variety of other capacities to help bring financial, human, and intellectual capital at scale to under-resourced and marginalized communities and support NeighborWorks organizations to grow their work and impact.

Our WHY

We believe the NeighborWorks America network is a powerful catalyst for locally driven community advancement. We support their equitable and inclusive work by connecting human, financial, and intellectual capital.

Loan Capital

Flexible, patient loans for real estate development and capacity building

Neighborworks Capital Green

Ensuring Greenhouse Gas Reduction Funds are invested in underserved communities

Neighborworks CapitalEquity Fund

Equitable, consistent LIHTC terms for the NeighborWorks Network

Neighborworks Capital Consulting

National expertise to advance your most challenging community-based work

Agency Loans

Fannie Mae, Freddie Mac, and FHA solutions with low and transparent fees and transaction costs.

WHO WE Serve

NeighborWorks organizations work in large metro areas, urban, suburban, rural and Native communities to stabilize neighborhoods and improve the lives of low-income residents. They provide communities with affordable housing construction, repair and financing, financial capability counseling, resident engagement, and equitable community development initiatives. Unlike many approaches that impose solutions from the outside, they use a community-first approach driven by the voices and aspirations of local residents. They are resident-led, centered around equity, and truly representative of their community’s goals and priorities. This distinctive community-first approach is working to create positive impacts as communities tackle the most critical challenges of today and create an environment for advancing long-term priorities.

Collectively, NeighborWorks organizations are one of the largest producers of affordable housing in the country. In 2023, they produced more affordable multifamily units than the top ten for-profit developers combined. In total, they own or manage 204,000 affordable rental housing units and have housed over 330,000 low-income individuals and families. They have created over 18,000 homeowners and have made over $10 billion in community investments.

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OUR IMPACT

NeighborWorks Capital lends across the country, with 21% of our portfolio in rural areas, ensuring that vulnerable or undercapitalized communities have access to capital.

We have deployed over $500 million in loan capital to support the affordable housing development, economic development, neighborhood revitalization, and resident and community services work of NeighborWorks organizations across the country.

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A Strong Investment

S&P Global Ratings, the world’s leading provider of independent credit ratings, assigned NeighborWorks Capital its first-ever issuer credit rating of “A+/Positive.” S&P Global noted several compelling indicators that guided its strong rating, including our financial strength with an above-average net-equity-to-assets ratio, profitability with an above-average net interest margin, adequate liquidity, and a strong management team and board members. View the announcement.

NeighborWorks Capital has been Aeris-rated since 2011 and currently has a three-star Impact Management rating, showing strong alignment of our impact mission, strategies, activities, and data that guide our lending, programs, and planning. We also have an AA- Financial Strength and Performance Rating, demonstrating very strong financial performance and risk management practices.

NeighborWorks Capital is a member of the Federal Home Loan Bank of Atlanta, a cooperative of eligible commercial banks, credit unions, savings institutions, community development financial institutions (CDFIs), and insurance companies that offers competitively-priced financing, as well as affordable housing and community development grants. This membership enables us to access stable, reliable, and low-cost funding and other banking services to further support the needs of our customers, pursue advances, and broaden our liquidity management tools.

NeighborWorks Capital is a national non-profit, certified CDFI. We have consistently achieved an annual positive change in net assets, currently over $60 million, and since our inception, have deployed over $500 million in loan capital to NeighborWorks network organizations. To learn more about NeighborWorks Capital, you can review our audited financial statements and reports on our Reports & Audits page.

Funders & Investors

Ally Bank invested $10 million to be deployed in the Western Region.

Atlantic Union Bank committed $3 million to be deployed in the Mid-Atlantic states.

Bank of America invested $12 million in a fixed rate longer-term loan for multifamily preservation.

BBVA (now PNC) provided a $2 million EQ2 investment in 2020 to be deployed in the Southern Region.

Capital One provided a three-year, low-cost loan of $1.5 million to support our affordable housing loan program.

Charles Schwab Bank is our largest investor with an investment of $15 million and a commitment to fund $25MM for up to 15-year permanent loan maturities.

JP Morgan Chase Bank committed a $10 million line of credit to expand our national lending program.

Deutsche Bank renewed and expanded its line of credit to $7 million for our interim and mini-perm lending program.

Opportunity Finance Network provided a Financial Justice Fund award that includes a $5 million, 10-year loan and $125,000 grant to support organizations serving Black, Latinx, Indigenous, and rural communities.

HSBC Bank invested $3 million to support our lending in HSBC’s market areas in the Northeast.

The Kresge Foundation invested $5 million to launch and capitalize the “Strategic Growth Fund” which offered low-cost, longer-term capital to NWOs to sustain and grow their business operations.

Morgan Stanley committed a $10 million line of credit for our multifamily acquisition, construction and mini-perm lending program.

NeighborWorks America has provided over $43 million of permanent equity capital and provided operating support allowing us to leverage investments from financial institutions, social investors and foundations.

PNC Bank invested $4 million in support of our lending in the Mid-Atlantic and midwestern sections of the country with an additional $3.5MM committed for additional use.

Since 2010 TD Bank has invested $7.5 million at below-market terms in support of our lending in their Northeast, Mid-Atlantic, and Southern markets.

Truist provided a $5 million line of credit for our lending program in its market area.

US Bank is one of our largest investors with a commitment of $13 million with over $5MM deployed.

The CDFI Fund has awarded over $6.8 million in grants including FA, Rapid Response and Capital Magnet and $1.95 million in low interest, long-term, fixed rate loans. This permanent, unrestricted capital further capitalizes our loan fund and provides important leverage to raise debt capital.

Wells Fargo provided $2 million in patient 10-year capital and a $10 million four-year line of credit for our interim and mini-perm lending program.

We provide an efficient and responsible avenue for our partners to reach more broadly and deeply to improve the lives of families in diverse communities across the country.

OUR HISTORY

NeighborWorks Capital began with the decision by NeighborWorks America to support its network with early-stage loan capital to initiate local community development projects, initially for rental projects as part of the Multifamily Initiative (MFI). The initial incorporation was a member organization named Neighborhood Capital Corporation (NCC), headquartered in Cleveland. Its board were NWO Executive Directors, and its borrowers were limited to members of the MFI. Upon merger with RNA Community Builders, a NeighborWorks America sponsored rural loan fund in 2007, NCC was rebranded NeighborWorks Capital Corporation and relocated to Silver Spring, MD.

"The flexibility in working with NeighborWorks Capital was very important to us. They know our organization and understand what we’re trying to accomplish."

Arturo Alvardo

Executive Director, Community Resources and Housing Development Corporation