Community Visionaries Chicago Community Loan Fund 2007-2008 Annual Report
Dear Friends:
A
t the Chicago Community Loan Fund (CCLF), we always cherish the opportunity to learn from and be inspired by the work of our customers. In 2007, we closed loans that will support over 850 housing units and 80,000 square feet of retail space as well as leverage nearly $59 million into communitybased development efforts in 10 communities. We are very proud of this achievement and thank all of our funders, investors and other partners for helping us lead so much capital into these opportunity communities! In this report, rather than focusing specifically on our loan production per se, we highlight the vision of three (out of many) of the leaders of the organizations that we work with. We share with you the depth of commitment, spirit and tenacity and the power of a certain brand of optimism that they all possess. These are the qualities that motivate us to continuously refresh our loan products and services and expand our capital resources to help them transform our neighborhoods.
Ken Dunn (Resource Center), Laura Lane (Fund for Community Redevelopment and Revitalization) and Joe Williams (Granite Development) are community visionaries who are showing us how our neighborhoods can be sustainable while developing innovative housing and providing retail options that make a positive impact on our lives. We listen and respond to these and other community visionaries who in turn show us why challenging projects can work and should be supported. It is also important for us to note that our support of the work of our community visionaries and their organizations is more critical than ever. With the current crisis in the housing and financial markets and subsequent tightening of credit standards, we underwrite prudently while remaining flexible. We continue to assist our borrowers with low-cost loans and project-specific technical assistance so that our communities can move forward and the hard-won, real progress achieved in past decades is not undone.
Our unique flexibility and creativity allow us to facilitate a variety of developments including those that support environmental stewardship, preserve community retail amenities, and foster closer integration of low- and middle-income households while revitalizing neighborhoods. CCLF understands that today’s community visionaries are orchestrating community redevelopment with a multifaceted approach and we are evolving to meet their needs. We hope that you will draw as much inspiration as we do from this sampling of the many community visionaries that CCLF is proud to partner with!
Rafael M. Leon, Chairman
Calvin L. Holmes, Executive Director
1
Ken Dunn Resourceful Visionary
2
D
riving on crowded North Clybourn Avenue just north of Division Street in Chicago, one would not guess such an urban neighborhood houses an innovative organic garden that sells produce to various area restaurants. That, however, is exactly what sits at 1241 North Clybourn: a garden that serves as a testament to one organization and its dynamic commitment to sustainability. The garden is a project of the Resource Center, a nonprofit organization that has demonstrated a myriad of ways to recycle and reuse materials in Chicago for more than 30 years. “We start by taking food waste from restaurants and cooking schools,” says Ken Dunn, founder and executive director of the Resource Center. “We compost it and use that compost to help grow vegetables that are desired by the same restaurants. They buy the vegetables and trim them as necessary. We pick up the waste to complete the cycle.” It’s that kind of process—efficient, enterprising, patient, and environmentally sound all at once—that reflects how the Resource Center and Ken Dunn have developed and achieved a vision for improving the quality of life in Chicago. Whereas others might look up and see a coffee shop, a traffic light, or a tall building on North Clybourn, Dunn looks at the urban terrain and sees a place to grow tomatoes, beans, peas, garlic, carrots, and numerous other crops.
He also sees a world that can be sustained by better use of human and material resources. Dunn passionately says sustainability is about “living so we do not diminish the possibility of future generations to enjoy a high quality of life. The decline in the quality can be caused by exploiting the planet—and exploiting people.” In concrete terms, sustainability is also about an organization that has grown dramatically since the 1970s and now has 38 full-time employees as well as 15 full-time high school and college students who work for it in the summer. The Resource Center’s range of creative projects tells a story of the many ways its philosophy is being applied. Key efforts include recycling programs; a prepared- and perishable-food recovery project; and a creative-use warehouse that collects overruns, rejects, and byproducts that business and industry treat as “waste,” and then redistributes the materials as valuable educational and artistic resources appropriate for reuse. In addition, the Center’s work has led to a spinoff project: a South Side retail community bike shop, the Blackstone Bicycle Works, that employs many neighborhood youth.
Through hard work and innovation, the Resource Center continues to create programs that have a positive impact on our environment. Dunn adds, however, that building the infrastructure of a sustainable society also requires capital. “We don’t pretend to be able to satisfy the needs of all of our projects. The investment of CCLF has made a big difference to the Resource Center.” CCLF supports the Resource Center’s innovative commitment to a green and sustainable Chicago. Specifically, in 2007, CCLF provided the organization with a much-needed equipment/ working capital loan for $30,000. The loan covers the cost of equipment and operations for the recycling program that the Resource Center operates at Chicago Housing Authority communities. CCLF has also made two other successful loans to the Resource Center in the last decade. For Dunn, the organization’s work hearkens back to the reason why the Resource Center was founded in the first place. “When we took our name, we thought our society is not using its resources well. We can do better.”
3
“ We start by taking food waste from restaurants and cooking schools. We compost it, and use that compost to help grow vegetables that are desired by the same restaurants. They buy the vegetables, and trim them as necessary. We pick up the waste to complete the cycle.�
4
“ Revitalizing a neighborhood is not always about how many rooftops you have, but how you work with retailers.�
Laura Lane Retail Renews Community
T
he sight of a viable and attractive retail center is something many people take for granted; it’s just a few blocks from home and feels like it’s always been there. For many residents who live near Lake Park Place Shopping Center on 47th Street, though, the knowledge that nearby retail centers have not always been quite that available is a given. Community leaders in North Kenwood–Oakland, Hyde Park and Woodlawn are not only committed to the shopping center—they’ve had the vision, and resources, to ensure that it remains under community control. In 2007, The Fund for Community Redevelopment and Revitalization, (also known as The Fund), based in Woodlawn, bought out their equity partner to maintain a controlling interest in the Lake Park Place Shopping Center, thus reclaiming The Fund’s role as majority owner and decision-maker regarding the
operation of the property. The deal was especially significant: had The Fund not purchased controlling interest in the center, such ownership interest almost certainly would have been purchased by a private company with no mandate to consider the community’s preferences regarding the property’s tenant mix. While having a vision for this community involves pursuing a range of projects, for Laura Lane it also means making sure the community has a seat at the table. “One of the most important things about this project is that we are able to consult with community partners,” says Lane, who is executive director of The Fund and whose family has roots in Woodlawn. “Our job includes listening to the community and saying there is a market here.” Now, Lane says, access to a retail center is making a difference to people who live in the community and to those who want to move there. “In this case, retail helps the housing market,” says Lane. “Revitalizing a neighborhood is not always about how many rooftops you have, but how you work with retailers.” The Chicago Community Loan Fund played a major role in making this deal happen. In a very
short time frame, ShoreBank was prepared to make a loan to The Fund but reached the maximum amount it could lend on this project. At that point, CCLF made an additional partnering investment of $600,000 to make the deal work. “We had a collateral shortfall, and we couldn’t do the whole deal by ourselves,” says Kaushik Shah, senior loan officer at ShoreBank. “It was critical that CCLF participated. Organizations such as CCLF provide the opportunity to complete deals like this one that we wouldn’t be able to do conventionally. In addition to that, their expertise was outstanding.” CCLF’s participation was significant in terms of showing support for community-based developers and filling in an important gap at a critical time— a time made more challenging by the loss of the center’s anchor tenant, which The Fund expects to replace in the near future. “CCLF’s support shows that it sees how neighborhood revitalization is tied to a healthy retail environment,” says Lane. With a range of major leaseholders, including Coldwell Banker, Walgreens, and Citibank, Lake Park Place is a fixture in the community. The current challenge, according to Lane, is to use this project for further community development efforts in the area. “Our vision,” she says, “is to use equity from the shopping center to develop commercial and residential properties in Woodlawn.” Meanwhile, Fourth Ward Alderman Toni Preckwinkle vividly recalls what was at the site before the shopping center. “That corner has been transformed,” says Preckwinkle. “There used to be this unending row of liquor establishments on that stretch. Now we have a modern shopping center, and it’s been a real plus for the community.”
5
Joe Williams Oakwood Shores: Building a Neighborhood
6
O
akwood Shores, a sweeping effort to build 3,000 mixedincome units of housing, is the largest development in the Chicago Housing Authority’s transformation plan. An area once defined by CHA high-rises is now one of the most dynamic and ambitious redevelopment projects on the city’s South Side. CCLF is providing critical predevelopment financing for the project. Joe Williams, surveying the site where several hundred units of housing have gone up in recent years with many more on the way, expresses an even grander vision of what Oakwood Shores can become. The real story, he says, is not just about bricks and mortar in a CHA transformation site. it’s about building a new neighborhood. Williams heads Chicago-based Granite Development Corporation, a for-profit, South Side focused firm that is partnering with The Community Builders (TCB), a national nonprofit urban housing developer, on the master development plan for this project. Granite and TCB are partnering to bring new-construction rental and for-sale housing to Oakwood Shores.
“For me, Oakwood Shores is about human sustainability and trying to build a neighborhood that creates great spaces for people to live in, walk to, and be a part of,” Williams says from the project’s sales center on the 3700 block of South Cottage Grove Avenue. “We are developing a neighborhood that is anchored by accessible public transit, excellent schools, arts and recreation, and medical centers, as well as early childcare and seniorcare centers, churches, and retail.” Meanwhile, Oakwood Shores will also incorporate major green features, including roof-mounted solar collectors, insulated roofs and walls, and high-efficiency furnaces in low-rise buildings. Williams’ vision embodies what Granite, TCB, and others are planning to do to transform this community. “Impoverished” is a word that has often described this stretch of the South Side. Williams is working to help build a different reality, one defined by revitalization of this long underdeveloped area that rests between downtown and Hyde Park. Along the way, Williams knows that he’s battling not only poverty but also negative perceptions about the South Side. Transformation will also mean mixed-income housing that will help lead to a diverse community. “The reason The Community Builders is excited about Oakwood Shores is that it creates the ability to market to families across the entire spectrum— including public housing renters, homebuyers
purchasing market-rate homes, and many others,” says Bill Goldsmith, director of the Midwest Region for The Community Builders. “We believe this project is making a long-term, multigenerational commitment to this neighborhood.” Williams, who grew up on the South Side, points to the key role the Chicago Community Loan Fund has played in the development of Oakwood Shores. In 2007, CCLF extended a loan of $350,000 to cover predevelopment costs related to the second phase of rental housing for the project as well as a separate $500,000 predevelopment loan for the second phase of for-sale housing. All told, CCLF has invested $2.75 million in the Oakwood Shores project across seven loans. Williams says CCLF has been a “critical partner” that understands the risk and challenges associated with developing a project in low- and moderateincome communities. “It can be tough financing deals in these neighborhoods, and CCLF is a trailblazer in figuring out how to make that happen. They simply understand what this kind of project will need on the financial side if it’s going to work. CCLF had been a terrific and flexible short-term lender—a lender that believes in the neighborhood.”
7
“ For me, Oakwood Shores is about human sustainability—and trying to build a neighborhood that creates great spaces for people to live in, walk to and be a part of.”
NORTH CHICAGO
Portfolio
$
SKOKIE $
Housing
EVANSTON +
$
Enterprise Facility
ROGERS PARK
EDISON PARK
CCLF focus communities and corridors
WEST RIDGE FOREST GLEN
NORWOOD PARK
These New Communities Program (NCP) neighborhoods are part of a long-term, citywide comprehensive community development initiative.
EDGEWATER
NORTH PARK JEFFERSON PARK
LINCOLN SQUARE ALBANY PARK
$+ UPTOWN
OHARE
IRVING PARK
PORTAGE PARK
NORTH CENTER
DUNNING
LAKE VIEW
AVONDALE MONTCLARE
BELMONT CRAGIN
LOGAN SQUARE HERMOSA
8
LINCOLN PARK
$
HUMBOLDT PARK
NEAR NORTH SIDE
WEST TOWN
$ $
AUSTIN
+
$+
EAST GARFIELD PARK
LOOP
NEAR WEST SIDE
$+ NEAR SOUTH SIDE
NORTH LAWNDALE
LOWER WEST SIDE
SOUTH LAWNDALE
BRIDGEPORT
BRIGHTON PARK ARCHER HEIGHTS
P O RT F O L I O S N A P S H O T B Y S E C T O R As of December 31, 2007
GARFIELD RIDGE
Total: $12.6 million
HOUSING Conventional Ownership $1.07 million 9%
ENTERPRISE* $53 thousand 0.4%
NEW CITY
WEST ELSDON
$
$
CHICAGO LAWN
WEST ENGLEWOOD
OAKLAND
GRAND BLVD. KENWOOD WASHINGTON PARK
GAGE PARK
CLEARING WEST LAWN
DOUGLAS
FULLER PARK
MCKINLEY PARK
LAKE MICHIGAN
ARMOUR SQUARE
WEST GARFIELD PARK
MAYWOOD
HYDE PARK
WOODLAWN
ENGLEWOOD
SOUTH SHORE
GREATER GRAND CROSSING ASHBURN
COMMERCIAL RETAIL $1.77 million 14%
AUBURN GRESHAM CHATHAM
AVALON PARK
SOUTH CHICAGO
CALUMET HEIGHTS BURNSIDE BEVERLY
FACILITY $2.55 million 20%
WASHINGTON HEIGHTS
HOUSING RENTAL $4.24 million 34%
ROSELAND
MOUNT GREENWOOD
PULLMAN
MORGAN PARK
EAST SIDE
SOUTH DEERING
WEST PULLMAN
HOUSING Co-op Ownership $2.91 million 23%
RIVERDALE HEGEWISCH
$
RIVERDALE
CONSTRUCTION LOAN Five Points Economic Development Corp.
Construction loan for mixed-use office/retail complex Loan amount: $409,400 Location: North Chicago, IL Low End Adventures
Line of credit to acquire/rehabilitate HUD homes Loan amount: $250,000 Location: Marquette Park OK Share & LakeShore New Homes LLC
Construction loan for new, for-sale housing Loan amount: $300,000 Location: North Oakland
Rebirth of Englewood CDC
Construction loan for affordable single-family homes Loan amount: $184,000 Location: Englewood WECAN 4 +
Gap construction loan for affordable rental housing Loan amount: $25,000 Location: Woodlawn Youthbuild Lake County Inc.
Development of single-family home through job-training program Loan amount: $71,000 Location: North Chicago EQUIPMENT/WORKINGCAPITAL LOAN Ahadi Early Learning Center
Equipment/working-capital loan for childcare center Loan amount: $30,000 Location: South Shore Marketplace: Handwork of India
Working-capital line of credit Loan amount: $50,000 Location: Skokie, IL
Resource Center +*
Working-capital loan for recycling program Loan amount: $30,000 Location: Citywide Salsedo Press 4 +
Printshop equipment purchase Loan amount: $90,000 Location: East Garfield Park/ Humboldt Park Salsedo Press 5 +
Printshop equipment purchase Loan amount: $184,198 Location: East Garfield Park/ Humboldt Park WECAN 5 +
Equipment/working-capital loan Loan amount: $35,000 Location: Woodlawn HOUSING COOPERATIVE LOAN
Logan Square Cooperative 1A/1B +
Minipermanent mortgage for cooperative housing Loan amount: $512,000 Location: Logan Square/Avondale Lots in Common +
Acquisition/minipermanent mortgage for student cooperative housing Loan amount: $300,000 Location: Hyde Park Spaulding Collective Partnership
Minipermanent mortgage for cooperative housing Loan amount: $185,000 Location: Logan Square
Stone Soup Cooperative 1 +
Acquisition/minipermanent mortgage for cooperative housing Loan amount: $355,000 Location: Uptown Stone Soup Cooperative 2 +
Ellis Cooperative
Acquisition/minipermanent mortgage for cooperative housing Loan amount: $165,000 Location: McKinley Park
Freedom Road Cooperative
MINIPERMANENT MORTGAGE LOAN
Gap financing Loan amount: $350,000 Location: Oakland Acquisition/minipermanent mortgage for cooperative housing Loan amount: $619,468 Location: Uptown Good News Partners 1 +
Minipermanent mortgage for cooperative housing (The Bosworth) Loan amount: $354,000 Location: Rogers Park
Breaking Ground 2 +
Acquisition/rehabilitation of mixed-use property (nonprofit offices and interim housing) Loan amount: $250,000 Location: North Lawndale Chicago Mutual Housing Network 2 +
Faith Tabernacle Baptist Church
Landbanking for future community center Loan amount: $234,000 Location: Stony Island Park 4832 S. Vincennes, L.P. *
Refinance of existing construction mortgage debt on a low-to-moderate income apartment building Loan Amount: $684,000 Geneva Foundation +
Acquisition/rehabilitation of group home for youth Loan amount: $410,000 Location: West Humboldt Park Ignatia House
Acquisition/renovation of supportive-living facility Loan amount: $144,000 Location: Avondale Mustard Seed of Chicago
Acquisition of social service program facility Loan amount: $349,500 Location: Near North Near Northwest Arts Council 1B +
Acquisition/rehabilitation of bed-and-breakfast enterprise Loan amount: $42,995 Location: Logan Square/East Humboldt Park Rimland Services 1 +
Acquisition/rehabilitation of group home for adults with autism Loan amount: $252,938 Location: Evanston, IL
Good News Partners 2 +
Minipermanent mortgage for cooperative housing (The Phoenix) Loan amount: $350,000 Location: Rogers Park
Acquisition/build-out of program/ nonprofit office space Loan amount: $135,000 Location: Logan Square/East Humboldt Park
Rimland Services 2 +
HUB Housing Cooperative +
Community TV Network +
St. John Community Outreach Organization
Minipermanent mortgage for cooperative housing Loan amount: $615,000 Location: Little Village
Acquisition/build-out of program/ office space Loan amount: $139,500 Location: Logan Square/East Humboldt Park
Acquisition/rehabilitation of group home for women with autism Loan amount: $125,400 Location: Maywood, IL
Acquisition/rehabilitation of supportive rental housing Loan amount: $600,000 Location: Grand Boulevard + Repeat borrower * New loan in 2007
9
Tri Fund Development *
Participation loan/increased nonprofit ownership of shopping center Loan amount: $600,000 Location: North Kenwood PREDEVELOPMENT LOAN Back of the Yards Neighborhood Council
Predevelopment loan for mixed-use office and community center building Loan amount: $295,000 Location: Brighton Park Featherfist Development Corp.
10
Predevelopment loan for social service agency’s new administrative facility Loan amount: $193,000 Location: South Shore Genesis Housing Development Corp.
Predevelopment loan for new construction of single-family and two-flat homes Loan amount: $125,000 Location: Washington Park Good Shepherd Community Service Organization
Predevelopment loan for affordable single-family homes Loan amount: $250,000 Location: Washington Park Greater Bethlehem Community Development Corp.
Predevelopment loan for mixed-income for-sale homes Loan amount: $250,000 Location: East Garfield Park Greater Riverdale Industrial Partnership (GRIP)
Predevelopment loan for industrial corridor planning Loan amount: $250,000 Location: Riverdale, IL Mission Metamorphosis, Inc.
Predevelopment loan for supportive housing facility serving homeless teen mothers and their children Loan amount: $75,000 Location: North Lawndale
New Pisgah Missionary Baptist Church*
Oakwood Boulevard Associates, LLC +
Bronzeville Emporium LLC
People’s Community Development Assn. of Chicago
Oakwood Shores Phase 2A Associates LP +*
Historic Pacesetter LP +
Predevelopment loan for affordable rental housing Loan amount: $350,000 Location: Kenwood/Oakland
Predevelopment loan for acquisition/ rehabilitation of mixed-income housing Loan amount: $1,200,000 Location: Riverdale, IL
Riverdale Family Housing LP +
Jazz on the Boulevard 1A/1B +
Safeway Keeler Inc. +
Predevelopment loan for 80 units of very affordable senior housing Loan Amount: $100,000 Location: Auburn Gresham
Predevelopment loan for affordable new townhomes Loan amount: $250,000 Location: East Garfield Park Predevelopment/acquisition loan for affordable rental building Loan amount: $500,000 Location: Riverdale, IL Sixteen Hundred Investment Group Ltd. *
Predevelopment loan for newconstruction rental apartments Loan amount: $50,000 Location: Englewood TCB-Lorington Apartments LP
Predevelopment loan for acquisition/ preservation of affordable rental housing Loan amount: $200,000 Location: Logan Square Voice of the People in Uptown
Predevelopment loan for affordable rental housing Loan amount: $250,000 Location: Uptown Wisdom Bridge Arts Project
Predevelopment/landbanking loan for community arts center and housing Loan amount: $429,000 Location: Rogers Park PREDEVELOPMENT/ CONSTRUCTION LOAN: CHA TRANSFORMATION Granite Partners for Oakwood Blvd Phase 2A, LLC +*
Predevelopment loan for 344 units of mixed-income and affordable housing Loan Amount: $500,000 Location: Kenwood /Oakland
Predevelopment loan for mixed-income homeownership units Loan amount: $350,000 Location: Kenwood/Oakland
Construction loan for mixed-income homeownership, rental, and public housing units Loan amount: $310,000 Location: Kenwood PREDEVELOPMENT/ CONSTRUCTION LOAN: LAWNDALE RESTORATION The FAT Group
Predevelopment/rehabilitation loan for affordable rental housing Loan amount: $85,000 Location: North Lawndale Lawndale Douglas LLC
Construction loan for rehabilitation of rental housing Loan amount: $300,000 Location: North Lawndale Racine Courts Cooperative *
Preservation of affordable cooperative housing Loan Amount: $400,000 Location: Morgan Park
FOR-PROFIT PREDEVELOPMENT/ CONSTRUCTION LOAN AA Holdings, LP/UAS Development Group
Predevelopment loan for rehabilitation of mixed-use housing/commercial property Loan amount: $286,000 Location: West Pullman
Financing for mixed-use commercial rehabilitation of historic townhome Loan amount: $450,000 Location: Bronzeville/Grand Boulevard
Predevelopment loan for mixed-use property (affordable rental housing and commercial space) Loan amount: $300,000 Location: North Lawndale 6608 S. Maryland LLC +
Construction loan for new mixed-income condominium housing Loan amount: $125,000 Location: Woodlawn Urban Equities, Inc.
Predevelopment/construction loan for new single-family homes Loan amount: $75,000 Location: Grand Crossing/Avalon Park Wilson Yard Development 1 LLC +
Predevelopment loan for mixed-use housing and commercial development Loan amount: $500,000 Location: Uptown Woodlawn Renaissance Partners
Predevelopment loan for affordable condominium housing Loan amount: $594,000 Location: Woodlawn + Repeat borrower * New loan in 2007
Financials
TOTAL CAPITAL UNDER MANAGEMENT 2003–2007 $25 million
The Chicago Community Loan Fund (CCLF) experienced significant growth in its fiscal year ending December 31, 2007. In 2007, net assets and total capital under management increased 20% and 23%, respectively, in comparison with 2006. Furthermore, while CCLF’s loan portfolio was essentially stable at $12.6 million, its total capital under management ($21 million)
$21 million
$20 million $17 million $15.4 million
$15 million $13.2 million $10.4 million
$10 million
$5 million
represented a record achievement for the agency.
0
CCLF’s combined equity and equity-equivalent (or subordinate) loan capital represented approximately 77% of total capital under
2003
2004
2005
2006
11
CUMULATIVE INVESTMENTS LEVERAGED 2003-2007 $600 million
management in 2007, allowing the fund to better meet the needs of its borrowers by making more flexible and/or longer-term loans. CCLF remains committed to strengthening its financial position in order to continue providing more resources to community visionaries.
2007
$538 million
$500 million
$479 million $434 million
$400 million
$373 million
$300 million
$200 million $176 million
$100 million
$0
LENDING POOL CAPITAL Total: $19,272,877
RELIGIOUS $1,590,000 8%
OTHER INDIVIDUALS $253,041 $399,800 1% 2% PUBLIC $800,000 4%
2004
2005
2006
2007
HOUSING UNITS LEVERAGED PER YEAR 2003–2007 1200 997
1000
FOUNDATIONS $1,900,000 10%
852
800
CORPORATE (Banks) $9,143,636 47% NET ASSETS $5,186,400 27%
2003
Affordable and mixed-income homes
600
599
521
200
0
522
376
400 374
289 242
344
Affordable homes
2003
2004
2005
2006
2007
S TAT E M E N T O F F I N A N C I A L P O S I T I O N As of December 31, 2007 (with comparative totals for 2006)
Operating
Lending Capital
2007 Total All Funds
2006 Total All Funds
ASSETS Current Assets Cash and cash equivalents Investments Notes receivable 12
Other current assets Total Current Assets
1,700,107
1,741,233
3,441,340
1,690,117
0
2,757,853
2,757,853
2,695,545
192,883
3,833,694
4,026,577
5,351,204
(277,519)
3,251,857
2,974,338
646,536
1,615,471
11,584,637
13,200,108
10,383,402
0
7,688,240
7,688,240
6,560,045
Long-Term Assets Notes receivable Other long term assets Total Long-term Assets Total Assets
99,297
0
99,297
80,199
99,297
7,688,240
7,787,537
6,640,244
1,714,768
19,272,877
20,987,645
17,023,646
LIABILITIES Current Liabilities Accounts payable and accruals Notes and loans payable Total Current Liabilities Long-Term Notes and Loans Payable Total Liabilities
155,206
28,041
183,247
136,349
10,260
1,906,436
1,916,696
847,798
165,466
1,934,477
2,099,943
984,147
30,116
12,152,000
12,182,116
10,454,877
195,582
14,086,477
14,282,059
11,439,024 3,922,169
Net Assets 1,407,693
3,124,687
4,532,380
Temporarily restricted
111,493
411,395
522,888
62,135
Permanently restricted
0
1,650,318
1,650,318
1,600,318
Unrestricted
Total Net Assets
1,519,186
5,186,400
6,705,586
5,584,622
Total Liabilities and Net Assets
1,714,768
19,272,877
20,987,645
17,023,646
Notes: 1. Loan loss reserve allowance was $1,082,511 and $808,575 in 2007 and 2006, respectively. 2. Statement of financial position is condensed for presentation purposes only. 3. Financial statements were audited by Desmond & Ahern Ltd.
S TAT E M E N T O F A C T I V I T I E S As of December 31, 2007 (with comparative totals for 2006)
OPERATING Lending Operations Unrestricted
LENDING CAPITAL
Technical Assistance
Temporarily Restricted
Unrestricted
Temporarily Restricted
Total
Unrestricted
Temporarily Restricted
Permanently Restricted
2007 Total All Funds
2006 Total All Funds
Revenue and Support Grants and Contributions
297,432
21,300
—
128,200
446,932
304,524
767,500
50,000
1,568,956
987,560
Contribution allocation to TA support
(47,771)
—
47,771
—
0
—
—
—
0
—
—
—
—
—
0
—
—
—
0
69,097
Donated Services
130,505
—
—
—
130,505
—
—
—
130,505
134,975
Notes Receivable interest income
867,171
—
—
—
867,171
—
—
—
867,171
868,369
Loan Closing Fees
59,247
—
5,010
—
64,257
—
—
—
64,257
36,287
Investment Income
225,306
—
—
—
225,306
—
—
—
225,306
181,294
Unrealized/realized loss on investments
—
—
—
—
0
77,504
—
—
77,504
(774)
3,035
—
—
—
3,035
—
—
—
3,035
10,974
13,150
(13,150)
39,900
(39,900)
0
403,197
(403,197)
—
0
—
1,548,075
8,150
92,681
88,300
1,737,206
785,225
364,303
50,000
2,936,734
2,287,782
Program
913,610
—
92,681
—
1,006,291
446,742
—
—
1,453,033
1,148,922
Administrative
255,072
—
—
—
255,072
—
—
—
255,072
250,784
Special event
Other Net assets released from restrictions— satisfaction of program restrictions Total Public Support and Revenue
Expenses
Fundraising Total Expenses Change in Net Assets
107,665
—
—
—
107,665
—
—
—
107,665
110,713
1,276,347
0
92,681
0
1,369,028
446,742
0
0
1,815,770
1,510,419
271,728
8,150
—
88,300
368,178
338,483
364,303
50,000
1,120,964
777,363
Net Assets, Beginning of Year
1,135,965
7,043
—
8,000
1,151,008
2,786,204
47,092
1,600,318
5,584,622
4,807,259
Net Assets, End of Year
1,407,693
15,193
—
96,300
1,519,186
3,124,687
411,395
1,650,318
6,705,586
5,584,622
13
Partners 2007/2008
Platinum Investors
$3 million +
Corporate Investors
Foundation Investors
Sinsinawa Dominicans Inc.
Amalgamated Bank of Chicago
Calvert Social Investment Foundation
Sisters of Charity of the Blessed Virgin Mary, Dubuque, Iowa
Orange County Community Foundation/Sperry Van Ness Legacy Foundation Fund
Sisters of Charity of Saint Elizabeth
Cole Taylor Bank Federal Home Loan Bank of Chicago
14
First Midwest Bank
Gold Investors
$2 million +
Harris Bank N.A.
First Personal Bank
The Mayer & Morris Kaplan Family Foundation
First Savings Bank of Hegewisch
Threshold Foundation
First Security Trust & Savings Bank
Wieboldt Foundation
HSBC – North America
Religious Investors
Marquette Bank
Adrian Dominican Sisters
$1 million +
The Private Bank & Trust Co.
Catholic Health Initiatives
The John D. and Catherine T. MacArthur Foundation
Ron Freund & Associates, Inc.
Congregation of the Sisters of Charity of the Incarnate Word
Silver Investors
The Northern Trust Company U.S. Department of Treasury CDFI Fund Washington Mutual Bank
US Bancorp Community Development Corp.
Congregation of the Sisters of St. Agnes Domestic & Foreign Missionary Society of the Protestant Episcopal Church Episcopal Dioceses of Iowa Evangelical Lutheran Church in America First United Church of Oak Park Our Lady of Victory Missionary Sisters Passionist Fathers School Sisters of St. Francis
Sisters of Mercy of the Americas Sisters of the Presentation of the Blessed Virgin Mary Sisters of St. Benedict Sisters of St. Dominic SSM International Finance. Inc. Trinity Health Wheaton Franciscan Sisters Corporation Other Investors
Opportunity Finance Network Individual Investors
At the end of 2007, CCLF managed capital from 35 individual investors. Taken as a whole, their capital represented approximately 2.1% of funds in the lending pool.
Permanent Capital Investors
Chicago Rehab Network City of Chicago Linked Deposit Fifth Third Bank Grand Victoria Foundation Harris Bank Foundation The Herbert & Goldyne Heyman Family Foundation Illinois Housing Development Authority JPMorgan Chase & Co. The John D. and Catherine T. MacArthur Foundation
Funders
Pro Bono Counsel
Auditor
Bank Leumi USA
Albert Whitehead, P.C. Pat Hollands, Esq.
Desmond & Ahern, Ltd.
Chapman and Cutler LLP Susan Rollins, Esq. Julia J. Singh , Esq. Edward V. Sommer , Esq.
Consultants
Bank of America Charter One Bank Chicago Community Foundation Citigroup Community Summer Intern Program Citi Foundation The Richard H. Driehaus Foundation Fannie Mae First Midwest Bank Grand Victoria Foundation
National City Bank
HSBC – North America
Polk Bros. Foundation
JPMorgan Chase Foundation
State of Illinois Linked Deposit
LaSalle Bank
Urban Enterprise Fund
The Mayer & Morris Kaplan Family Foundation
U.S. Department of Treasury CDFI Fund
MB Financial Bank
The Walter and Mary Tuohy Foundation
National City Bank
Washington Mutual Bank
Polk Bros. Foundation
Wieboldt Foundation
The Private Bank & Trust Co.
Northern Trust
Taproot Foundation US Bank U.S. Department of Treasury CDFI Fund Washington Mutual Bank
McDermott Will & Emery LLP Jerry Castro, Esq. Vedder Price, Kaufman & Kammholz, P.C. Nicholas Harned, Esq. Richard L. Williams III, Esq. Caroline McConnie, Esq. Robert Dixon, Esq. Wildman Harrold Allen & Dixon LLP Jeffrey Gray, Esq. Helen Suh, Esq. Mark Vaughen, Esq.
Joy Aruguete, Bickerdike Redevelopment Corp. Dan Baron, Writer Charles Daas, City Solutions Community Accounting Services (pro bono) Forward Design Gwen Gaston-Gray, Gaston Gray Consulting Joe Kohli, Kohli Consulting Lumity Mari Gallagher Research Group Net-Telligence Group Inc. Opportunity Finance Network Consulting Taproot Foundation Service Grant Team (pro bono) Teresa R. Prim, Prim Lawrence Group Thomas Rubey & Associates, Ltd. Tony V. Martin Photography Valerie Denney Communications
15
Board of Directors
Committee members
Special Thanks
Eric Hudson
CHAIR
Jody Adler
Jody Adler, Esq.
Kevin Jackson
Victor Agusta
Gregory Jeffries
Rafael M. León
Chicago Metropolitan Housing Development Corporation
Andrea Anderson
Rachel Johnston
ShoreBank
Sylvia Arnold
Gladys Jordan
Leslie Davis
Patrick Bayard
Susan Kaplan, Esq.
Stephen Bell
Deborah Kasemeyer
Deborah Bennett
Sandra Kerr
Joan Berry
Susan King
Illinois Housing Development Authority
Michelle Bibbs
Alex Kotlowitz
Secretary
Charles Hall
Dan Broughton
Builders Bank
Donnie Brown
Lake County Affordable Housing Commission
Chapman and Cutler (Retired)
Cynthia Hall
Malcolm Bush
Vice Chair
Susan Kaplan, Esq.
Community Economic Development Law Project
Treasurer
Edward J. Hoynes
Community Accounting Services
John L. Tuohy, Esq. 16
Community Economic Development Law Project
Charles F. Daas City Solutions
Mohammed M. Elahi
Andes Capital Group, LLC
Daniel Broughton
ShoreCap International
Jodi Gingiss
Deloitte Services LP
Stephen J. Gladden
New Century Bank
Gladys Jordan
Interfaith Housing Dev. Corp. of Chicago
LaSalle Bank/Bank of America
Chapman & Cutler LLP
Rafael León
Chicago Center for Green Technology
Sara Jo Light Lutheran Volunteer Corps
Toya Horn Howard, Esq.
Allen Rodriguez
Chicago Community Ventures
Raymond McGaugh
Charter One Bank
Chicago Jobs Council
Ambar Mentor
Ed Jacob
Lynn Sasamoto
Chicago Rehab Network
Much Shelist
Allison Clark
Saurabh Narain
Citigroup Summer Intern Program
Partners for the Common Good
Community Accounting Services
Kevin Pierce
Community Economic Development Law Project
Mark Pinsky
Real Estate Attorney
North Side Community Federal Credit Union
Rev. Dr. B. Herbert Martin
Progressive Community CenterThe People’s Church
Community Representative
Mark Spears
Fifth Third Bank
Brian Worth
Related Management
Glenn M. Mazade Charter One Bank
Patricia Y. McCreary
Committee Alumni
Seaway National Bank
Jeremy Addis
Kay S. McNab, Esq.
Robert Bronstein
Winston & Strawn
Charles Goetze
Raymond S. McGaugh, Esq.
Paul Peterson
Dykema Gossett
Richard S. Peabody, Jr.
Susan Rollins, Esq.
Matt Cooper Charles Daas Pam Daniels-Halisi Bryony Edwards David Erickson-Pearson Fast Company Magazine Nora Ferrell
Chase Bank - Elk Grove Village
Joel Freehling
Nancy Radner, Esq.
Chicago Alliance to End Homelessness
Genesis Housing Development Corporation
Matthew R. Reilein
Stephen Gladden
JPMorgan Chase & Co.
Maria Saldaña
Duncan-Williams, Inc.
Kathryn Tholin
Center for Neighborhood Technology
Lawrence Grisham Rob Grossinger Matt Hickey Housing Action Illinois
Matthew Reilein Regina Rice Allen A. Rodriguez Salsedo Press Lynn Sasamoto Lisa Tapper William Townsell John Tuohy Village of Riverdale Janiece Waters James Weier Greg Whitehead Sharon Wolfson Woodstock Institute
S TA F F Calvin L. Holmes Executive Director
Jane Ames
Director of Finance and Administration
Rhonda McFarland Director of Lending
Mark Fick
Senior Loan/Program Officer
Juanita Walker Office Manager
Emily Moen
External Relations Associate
Angela Bennett
Finance and Administration Associate
Kate McInerney
LVC Program Assistant
America Lewis Receptionist
Editor & Writer Dan Baron Design Judy Sickle Forward Design Proofreader Charlotte Koelling The Critical Difference
Photography Tony V. Martin Tony V. Martin Photography
Chicago Community Loan Fund 29 East Madison Street, Suite 1700 Chicago, Illinois 60602-4115 Tel 312.252.0440 Fax 312.252.0419 info@cclfchicago.org www.cclfchicago.org A member of the Opportunity Finance Network