A new BIPOC developers fund established by the Community Preservation Corp. (CPC) and TruFund Financial Services has announced its first equity investment.
The preferred equity investment to Infinite Horizons will support the affordable housing organization’s strategic growth plan, allowing the New York-based company to leverage increased liquidity, fund affordable housing project development, and grow internal capacity, according to officials.
“Receiving this equity investment from the CPC-TruFund BIPOC Developers Equity Fund came at a critical stage in our company’s growth trajectory, especially as we take on more projects and expand the organization’s capacity in the development of affordable housing. This investment allows us to address current and future needs in our project pipeline and strengthen our organizational capacity,” said Roland and Randall Powell, owners of Infinite Horizons, in a statement.
CPC, a nonprofit multifamily finance company, and TruFund, a nonprofit that provides affordable loan capital to small businesses and nonprofits, launched their fund in October 2021. The $6 million fund is aimed at helping Black, Indigenous, and people of color (BIPOC) within the housing and community development space grow their businesses. Providing funding up to $1 million, the program delivers capital and technical support to eligible BIPOC housing developers who may lack access to affordable capital and support from conventional sources. It also facilitates affordable capital to support New York State-based emerging BIPOC developers with the goal of building their capacity and growing their business infrastructure.
"We’re proud that our partnership with TruFund has helped provide Infinite Horizons with the resources they need to scale their business so that they have an opportunity to compete, grow and thrive,” said Lawrence Hammond, senior vice president, director of ACCESS, at CPC. “When we help level the playing field for BIPOC developers and entrepreneurs, we all benefit from a more robust and equitable development industry."
“Infinite Horizons has ample experience preserving and creating affordable housing. Their development activities will continue to improve the quality of housing while also strengthening and diversifying our neighborhoods,” said James H. Bason, president and CEO of TruFund, the fund manager. “We are so excited for the opportunity to make this investment. It will provide the capital it needs to accelerate the growth of its businesses.”
The CPC-TruFund BIPOC Developers Equity will continue to identify investees. It is anticipated that future rounds will expand to service more BIPOC developers across New York.