In partnership with the City of Dallas, LISC Fund Management and TREC Community Investors, the fund has already supported nearly 500 units of affordable housing
DALLAS (Nov. 20, 2024)— LISC Fund Management, LLC (LFM) announced today that the Dallas Housing Opportunity Fund (DHOF) has raised $41.5 million to fuel additional affordable housing development across the city.
Launched in 2022 with $6 million in seed funding from the City of Dallas, DHOF has since attracted additional private investments and already invested $34 million across seven affordable housing developments. The fund is designed to mitigate the worsening affordable housing crisis in Dallas. DHOF particularly addresses the need for renters, more than half of whom are considered cost-burdened and struggle to find quality and safe housing within their means.
“Housing is such a critical piece of the economic infrastructure of communities,” said Tiffany Durr, president of LFM, which manages DHOF. “By expanding the fund with new investors, we will be able to support more development projects and help more residents find housing they can afford near good jobs, schools and other services that contribute to a good quality of life.”
While Charles Schwab Bank and KeyBank are longstanding partners of LISC, this round of investor financing includes a new partnership with BOK Financial for $3 million. BOK Financial provides a range of financial services to Dallas residents, businesses and communities. Along with $5 million each from Schwab and KeyBank, the new capital will be deployed as affordable loans to housing development projects that will meet the needs of people with low-to-moderate incomes.
“BOK Financial is committed to making quality housing more accessible for Dallas residents,” said Gilbert Gerst, senior vice president of community development banking at BOK Financial. “Our investment in the Dallas Housing Opportunity Fund reflects our dedication to helping families find affordable homes near vital resources, fostering a more inclusive and thriving community for all.”
Since launching in September 2022, DHOF investments have supported nearly 500 affordable rental units and $130 million in total development costs. Oak Lawn Place, for instance, is a newly opened 84-unit development for seniors that provides services specifically geared to the needs of older LGBTQIA+ residents. DHOF invested $5.4 million to support the $31 million project, which was developed by the nonprofit Resource Center of Dallas. Apartments are affordable to people over 55 who earn 30-60 percent of the area median income (AMI), or $23,200-$46,380 for a one-person household.
“We are pleased to partner with LISC, the City of Dallas and our banking colleagues to provide funding for much needed affordable housing in one the America’s fastest growing cities,” said Brian Maddox, head of Community Development Financial Institutions (CDFI) lending and investment at KeyBank. “Our investment underscores our commitment to improving the quality of life for underserved communities.”
LFM worked with the City of Dallas and TREC Community Investors, a local philanthropic real estate focused organization, to launch DHOF in late 2022 and has been raising and deploying capital since then to support local housing goals.
“There is an urgent need for more affordable housing in Dallas,” said Jamee Jolly, president and CEO of The Real Estate Council. “TREC Community Investors is proud to be a partner in this impactful collaboration and appreciates the support from the fund’s newest investors. Together we are increasing the supply of affordable housing in our region and building a stronger Dallas.”
For more information on DHOF, please visit https://www.liscstrategicinvestments.org/dallas-housing-opportunity-fund-dhof
