CareSource, a nonprofit multistate managed care plan, announced that it is committing $50 million to affordable housing projects across the United States.
The investments will be focused in locations with either a high density of CareSource members, underserved populations, or hard-to-serve geographies, said the Dayton, Ohio-based organization.
“Right now, there is no county in the U.S. where a person making minimum wage working full time can get an affordable two-bedroom apartment,” said Erhardt Preitauer, president and CEO, CareSource. “We are now able to be on the leading edge in demonstrating how housing stability, quality, safety, and affordability affect health outcomes, as do physical and social characteristics of neighborhoods.”
CareSource will be investing in affordable housing loan funds with other investors to provide financial resources to developers, according to a representative.
The organization’s latest pledge follows years of affordable housing support through CareSource Foundation grants. Earlier this year, it announced its role as an investor in the $100 million housing action fund administered by the Affordable Housing Trust for Columbus and Franklin County, which provides below-market financing for affordable housing development.
“While it’s unusual for a nonprofit like CareSource to invest this way, we feel strongly that it makes good financial sense for the organization,” said CFO Dave Goltz. “CareSource is not only diversifying existing investment dollars but also aligning our investments with our mission and better serving members.”
The $50 million will be spread among its current markets, including Ohio, Indiana, Georgia, Kentucky, and West Virginia, as well as new markets as the organization grows its footprint.
