Annual Report
2009/2010
Stabilize
Preserve
Revitalize
Calvin L. Holmes President
John Tuohy, Esq. Chairman
Dear Friends: We hope that you will enjoy reading this year’s annual report. John Tuohy, CCLF’s board chair, and I are excited to share stories about the critical lending and technical assistance services that CCLF is providing to help preserve, stabilize and revitalize Chicagoland communities, especially in the midst of a challenging economic climate. Please allow me to share a personal experience. I have commuted to the office and other places this summer on my bicycle, and it has been a wonderful way to stay in touch with our communities. In addition to lowering my own carbon footprint, I rode through neighborhoods devastated by foreclosures, through communities where new retail spaces sit idle, and past promising parcels left unfulfilled by partiallybuilt structures. I talked with homeowners who have seen their home values plummet , many of whom had just experienced positive net worth for the first time in their lives. I spoke with community leaders and developers who worry that all of the transformational development completed over the past 30 years is being undone by the deep and stubborn recession eroding wealth, health, commerce, safety and hope in our lower wealth communities. This closer contact has translated into urgency: a call to action here at CCLF.
John and I want you to know that CCLF is partnering with the City of Chicago’s Neighborhood Stabilization Program to rehabilitate hundreds of homes to help stabilize communities. We have stepped up our activities in the Cook County Preservation Compact to work with developers to preserve affordable rental housing. We have added more social enterprise and commercial/retail financing to our work to bring more jobs, businesses and goods and services to our communities to spur revitalization. CCLF understands that conditions are still less than ideal in our communities – national unemployment rates remain over 9%, while unemployment rates in communities of color are even higher, between 12 and 14%. With foreclosure rates continuing to rise, property abandonment continuing and small businesses struggling, CCLF is continuing to provide responsive loans and technical assistance. We need to be there for the communities we care about the most; to give people a chance to succeed. Your investments, grant support, donations, referrals and partnership create opportunities for us to serve. This support is now, more than ever, helping us to help create communities where people thrive! Calvin L. Holmes President
John Tuohy Chairman CCLF Annual Report | 01
Project
Woodlawn Park
Developer: Preservation of Affordable Housing
A developer in Woodlawn is working for transformation— transformation of a housing development, a block, a neighborhood and a community.
Preservation Compact
The Preservation Compact brings together the region’s public, private and nonprofit leaders to address the loss of affordable rental housing stock in Cook County.
02 | CCLF Annual Report
Preservation of Affordable Housing (POAH) is a development company that has taken on the task of redeveloping the aging Grove Parc Plaza, a 504-unit apartment complex in Woodlawn that residents and the surrounding community agree is ready for transformation. A primary goal of POAH’s redevelopment plan is to preserve the existing Section 8 subsidies—both in the new, renamed Woodlawn Park and in the surrounding community. “Over 300,000 units of housing have been lost in the last 5 years due to termination of projectbased Section 8 contracts—we’re committed to helping residents stay in their community,” says Dan Burke, Chicago POAH Director.
CCLF provided a $750,000 predevelopment loan to POAH as a part of our participation in the Cook County Preservation Compact Gateway Fund. CCLF’s predevelopment lending covers critical early-stage costs and gives projects the stability they need to attract the additional layers of financing that help community development projects succeed. The plans for the $135 million development of Woodlawn Park include a comprehensive redevelopment that will provide improved transportation and pedestrian access, two major anchor retail stores and other commercial development, mixed-income housing and community amenities. Burke believes that POAH’s Woodlawn Park can be a key element in creating an overall revitalization of the Woodlawn community, giving the leg up that they need to funnel more investment into the community: “POAH expects the project to stimulate broader reinvestment and development in Woodlawn, bringing broad renewal to the community.”
Photos and renderings courtesy of POAH
“We’re committed to helping residents stay in their community.” Dan Burke, Chicago POAH Director
Sustainable Strategies The plans for Woodlawn Park include LEED certification, which will implement a variety of sustainability features: High-efficiency furnaces High R-value insulation Advanced air sealing
Preserve
Storm water management with bioretention planters
CCLF Annual Report | 03
“I let them know I’m from the community, and we want to change lives.” Sustainable Strategies
Melvin Bailey, Executive Director of CMEP
NSP homes are rehabs, which require fewer new materials and have less negative environmental impact than new construction. City of Chicago NSP aims for a minimum of a 2-star environmental rating for each property using the Chicago Green Homes Program. Some properties have incorporated: Energy-efficient windows Rain barrels Solar water heating systems
04 | CCLF Annual Report
Stabilize
Project
Neighborhood Stabilization Program
Developer: Community Male Empowerment Project
Melvin Bailey is helping put his neighborhood to work, and inspiring and empowering along the way. Bailey is the Executive Director of the Community Male Empowerment Project (CMEP), one of the qualified developers that are working with the City of Chicago’s Neighborhood Stabilization Program (NSP) to rehabilitate foreclosed properties in targeted neighborhoods. The City has been awarded three federal grants totaling more than $169 million for the program, which aims to mitigate the foreclosure crisis and prevent neighborhood decline, as blighted buildings are refashioned into homes. CMEP is a nonprofit with a mission to build public/private partnerships that help people rise above often troubled pasts. For NSP, Bailey has hired sub-contractors and workers from the surrounding neighborhood, some of whom live on the same block as the project site in East Garfield Park.
“I let them know I’m from the community, and we want to change lives…we want our workers to look, ask questions, build skills and learn the process, so they can move on to even more success,” says Bailey. CCLF is partnering with the City of Chicago NSP and Mercy Portfolio Services, using our experience and infrastructure to provide construction financing. So far, CCLF has provided three construction loans to CMEP and almost 20 loans to other NSP developers, with many more to come. Bailey says that the homes CMEP has worked on have created a watershed effect. “I’ve met everyone on the block, in the neighborhood. They all come by to see what’s happening here, and seeing progress made in their neighborhood makes a difference.”
CCLF Annual Report | 05
Project
Wilson Yard
Developer: Holsten Real Estate Development Corporation
Kristy Butler and Yolanda Holmes are longtime residents of Chicago’s Uptown neighborhood. Because of an exciting new development, they now have opportunities they had never thought possible. Wilson Yard, a mixeduse development in Uptown built by Holsten Real Estate Development Corporation, promises to revitalize a commercial corridor, and includes 178 affordable senior and family apartments and over 30,000 square feet of commercial space, including Target and Aldi stores. Holmes has lived in Uptown for 12 years, but in three different homes. She is one of the first residents of Wilson Yard, and as the owner of a neighborhood salon, Holmes is also excited about the new commercial developments, saying, “I believe Wilson Yard will attract a lot of new business for small business owners in the community.”
06 | CCLF Annual Report
Butler has grown up in the community, but commuted to her job at Target in Evanston each day. She has now transferred to the new store in Uptown, saying, “I can now live and work in my community.” The Wilson Yard Target has hired over 300 employees, with 80% living within a two-mile radius. Attractive and accessible retail in a community provides goods and services, jobs, stability and peace of mind for residents. CCLF made a $1 million early-stage loan for Wilson Yard, part of financing from more than 20 public and private sources. Celebrating the project’s grand opening, Alderman Helen Shiller said, “Wilson Yard will have a dramatic impact on the 46th Ward.” Chicago’s Mayor Richard Daley added, “Making key investments in our neighborhoods—developing sites for new retail stores and preserving affordable housing—makes for a more stable and secure community.”
“I can now live and work in my community.� Kristy Butler, Resident
Sustainable Strategies Holsten Real Estate Development Corporation has made sure to incorporate a wide range of sustainable building techniques throughout Wilson Yard. The development is currently projected to achieve a Silver certification from the U.S. Green Building Council. Wilson Yard includes: Green roof over Target and Aldi stores Access to bus and train lines, as well as I-GO car sharing vehicles Water-efficient landscaping
Revitalize
LEED-compliant carpet, paint, coatings and sealants Construction waste management
CCLF Annual Report | 07
OHARE
DUNNING
EVANSTON
PORTAGE PARK
LINCOLN SQUARE
WEST RIDGE
AVONDALE
IRVING PARK
ALBANY PARK
NORTH PARK
FOREST GLEN
JEFFERSON PARK
NORWOOD PARK
EDISON PARK
CCLF’s lending spans the six-county Chicago metropolitan region. The community development loans in our portfolio include a wide variety of projects: affordable housing, community facility space, commercial
LAKE VIEW
EDGEWATER
ROGERS PARK
UPTOWN
As of December 31, 2009
real estate, mixed-use projects, social enterprises and other economic development projects.
CCLF Portfolio
NORTH CHICAGO
N
NORTH CENTER
CHICAGO LAWN
MOUNT
BEVERLY
1
2
Mixed Use
CCLF Focus Corridors 0
Housing
Chicago Community Areas
3
Miles
BORROWER TYPE Facility
EAST SIDE
HEGEWISCH
SOUTH DEERING
PULLMAN
CALUMET HEIGHTS
SOUTH CHICAGO
CCLF Focus Communities
VILLAGE OF RIVERDALE
WEST PULLMAN
SOUTH SHORE
AVALON PARK
RIVERDALE
CHATHAM
ROSELAND
WASHINGTON HEIGHTS
AUBURN GRESHAM
GREATER GRAND CROSSING
WOODLAWN
HYDE PARK
KENWOOD
OAKLAND
Enterprise
GREENWOOD
NEW CITY
DOUGLAS
NEAR SOUTH SIDE
LOOP
NEAR NORTH SIDE
BRIDGEPORT
MCKINLEY PARK
MORGAN PARK
GAGE PARK
ASHBURN
WEST LAWN
WEST ELSDON
ARCHER HEIGHTS
BRIGHTON PARK
SOUTH LAWNDALE
LOWER WEST SIDE
NEAR WEST SIDE
WEST TOWN
New Communitites Program (NCP) Areas*
BRIDGEVIEW
CLEARING
GARFIELD RIDGE
NORTH LAWNDALE
EAST GARFIELD PARK
HUMBOLDT PARK
HERMOS
*NCP neighborhoods are part of a long-term, citywide comprehensive community development initiative
KEY
MAYWOOD
AUSTIN
ENGLEWOOD
WEST GARFIELD PARK
LINCOLN PARK
ARMOUR SQUARE FULLER PARK
LOGAN SQUARE
GRAND WASHINGTON
BELMONT CRAGIN
WEST ENGLEWOOD
BLVD
PARK
MONTCLARE
BURNSIDE
Portfolio in 2009
Construction Loan
I-GO Alternative Transportation: $500,000 for program expansion and vehicle purchase
Chicago Metropolitan Housing Development Corporation: $250,000 for renovation of mixed-income rental properties in Washington Heights, Ashburn, Chicago Lawn and Albany Park
Neighborscapes NFP: $128,000 for a summer youth employment program in south suburban Cook County
Five Points Economic Development Corporation: $383,798 for a mixed-use office/retail complex in North Chicago, IL Genesis Housing Development Corporation 2: $281,000 for rehabilitation of property for NSP in South Shore Mount Vernon Missionary Baptist Church: $50,000 for a community center in North Lawndale OK Share & LakeShore New Homes LLC: $300,000 for new, for-sale housing in North Oakland
Equipment/Working Capital Loan Ahadi Early Learning Center: $30,000 for a childcare center in South Shore 10 | CCLF Annual Report
Resource Center: $30,000 for a citywide recycling program Salsedo Press, Inc.: $184,198 for printshop equipment in East Garfield Park and Humboldt Park
Housing Cooperative Loan Freedom Road Cooperative: $619,468 for limited equity cooperative housing in Uptown Good News Partners (The Bosworth): $354,000 for cooperative housing in Rogers Park Good News Partners (The Phoenix): $350,000 for cooperative housing in Rogers Park Hesed House Cooperative: $250,000 for limited equity cooperative housing in Little Village HUB Housing Cooperative: $615,000 for limited equity cooperative housing in Little Village
Logan Square Cooperative: $512,000 for limited equity cooperative housing in Logan Square
Breaking Ground, Inc. 3: $50,000 for landbanking in North Lawndale
NASCO Properties, Inc.: $1,022,495 for student limited equity cooperative housing in Hyde Park
Chicago Mutual Housing Network 2: $125,000 for acquisition/build-out of nonprofit office space in Logan Square/East Humboldt Park
Spaulding Collective Partnership: $185,000 for cooperative housing in Logan Square Stone Soup Cooperative 1: $355,000 for limited equity cooperative housing in Uptown Stone Soup Cooperative 2: $165,000 for limited equity cooperative housing in McKinley Park
Community TV Network 2: $139,500 for program and office space in Logan Square/East Humboldt Park East Lake Management & Development Corporation: $184,814 for affordable housing in Grand Boulevard Geneva Foundation: $410,000 for a group home for youth in West Humboldt Park
Minipermanent Mortgage Loan
Growing Home, Inc.: $250,000 for facility space at a year-round urban farm in Englewood
4832 S. Vincennes, LP: $684,000 for a low- to moderate-income apartment building in Grand Boulevard
Ignatia Foundation: $144,000 for a supportive-living facility in Avondale
Arab American Family Services: $380,000 for a social service program and office building in Bridgeview, IL Breaking Ground, Inc. 1: $250,000 for a mixed-use property (nonprofit offices and interim housing) in North Lawndale
Mustard Seed of Chicago, Inc.: $349,500 for a social service program facility in Near North Side The Resurrection Project: $54,086 for affordable rental housing in Pilsen
CCLF Annual Report | 11
Rimland Services 1: $252,938 for housing for adults with disabilities in Evanston, IL
Featherfist Development Corporation: $193,000 for a social service facility in South Shore
Rimland Services 2: $125,400 for housing for adults with disabilities in Maywood, IL
Fellowship Educational and Economic Development Corporation: $250,000 for a retail development and community center in Chatham
Rimland Services 3: $180,000 for housing for adults with disabilities in Evanston, IL Rimland Services 4: $117,000 for housing for adults with disabilities in Evanston, IL Southside Preservation Portfolio, LLC: $1,000,000 for affordable housing in Auburn Gresham, Chatham, Roseland and South Shore
Good Shepherd Community Service Organization: $250,000 for affordable single-family homes in Washington Park
Tri-Fund Development: 600,000 for a shopping center in North Kenwood
Greater Bethlehem Community Development Corporation: $250,000 for mixed-income for-sale homes in East Garfield Park
Predevelopment Loan
Greater Riverdale Industrial Partnership: $250,000 for mixed-income for-sale homes in Riverdale, IL
Arches Retail Development LLC: $400,000 for mixeduse housing and a medical center in Oakland
Latin United Community Housing Association (LUCHA): $225,000 for rehabilitation of affordable homes in West Town
Back of the Yards Neighborhood Council: $295,000 for mixed-use office space and a community center in Brighton Park 12 | CCLF Annual Report
Genesis Housing Development Corporation: $125,000 for single-family and two-flat homes in Washington Park and Bronzeville.
Mission Metamorphosis, Inc.: $75,000 for a supportive housing facility in North Lawndale
New Pisgah Missionary Baptist Church: $100,000 for affordable senior housing in Auburn Gresham Oakwood Shores Terrace Associates LP: $200,000 for a mixed-use residential and medical facility in Oakland People’s Community Development Association of Chicago: $250,000 for affordable townhomes in East Garfield Park Quad Communities Arts & Recreation Center, LLC: $500,000 for a community arts center in North Kenwood/ Oakland Voice of the People in Uptown, Inc.: $250,000 for affordable rental housing in Uptown Wisdom Bridge Arts Project: $429,000 for a community arts center and housing in Rogers Park
Predevelopment/Construction Loan: CHA Transformation Granite Partners for Oakwood Boulevard Phase II, LLC: $500,000 predevelopment loan for mixed-income housing in Kenwood/Oakland Jazz on the Boulevard 1A/1B: $310,000 construction loan for mixed-income homeownership, rental and public housing in Kenwood
For-Profit Predevelopment/ Construction Loan 300 East 51st Street LLC (Urban Junctures): $400,000 predevelopment loan for commercial development project in Bronzeville AA Holdings, LP/UAS Development Group: $286,000 predevelopment loan for mixed-use property rehabilitation in Roseland
CCLF Annual Report | 13
Alliance Property Group of Illinois II, LLC: $875,000 predevelopment loan for mixed-use and affordable senior housing in North Kenwood/Oakland Bronzeville Emporium LLC: $450,000 construction loan for a mixed-use commercial rehabilitation in Bronzeville/ Grand Boulevard Englewood Housing Group II, LP: $375,000 construction loan for affordable rental housing in Englewood Keeler-Roosevelt Road LP: $500,000 construction loan for affordable mixed-use housing in North Lawndale King Legacy LLC: $85,000 predevelopment loan for affordable mixed-use housing in North Lawndale Lawndale Douglas LLC: $300,000 construction loan for rental housing rehabilitation in North Lawndale Logan Square Kitchen: $250,000 construction loan for kitchen incubator and event space in Logan Square Oakwood Shores Senior Apartments LP: $500,000 predevelopment loan for affordable senior housing in North Kenwood/Oakland
14 | CCLF Annual Report
Parkside Nine: $250,000 predevelopment loan for mixed-income rental housing in Near North Preservation of Affordable Housing: $750,000 predevelopment loan for mixed-use affordable housing in Woodlawn Racine Courts Cooperative: $400,000 for affordable cooperative housing in Morgan Park Sixteen Hundred Investment Group: $50,000 predevelopment loan for affordable senior housing in Roseland
First Midwest Bank
Catholic Health Initiatives
SSM International Finance, Inc.
$3 million +
First Savings Bank of Hegewisch
Congregation of the Passion
Trinity Health
First Security Trust & Savings Bank
Congregation of the Sisters of Charity of the Incarnate Word
Wheaton Franciscan Sisters Corp.
Congregation of Sisters of St. Agnes
Other Investors
Domestic & Foreign Missionary Society of the Protestant Episcopal Church
Opportunity Finance Network
HSBC - North America U.S. Department of Treasury CDFI Fund
Marquette Bank The PrivateBank Ron Freund & Associates, Inc.
Gold Investors $2 million + Charter One
Seaway Bank & Trust Company US Bancorp Community Development Corp.
Episcopal Dioceses of Iowa
Foundation Investors
First United Church of Oak Park
Harris Bank N.A.
Silver Investors $1 million +
Calvert Social Investment Foundation
The John D. and Catherine T. MacArthur Foundation
The Mayer & Morris Kaplan Family Foundation
The Northern Trust Company
Orange County Community Foundation/Sperry Van Ness Legacy Foundation Fund
JPMorgan Chase & Co
Corporate Investors
Federal Home Loan Bank of Chicago First Personal Bank
Our Lady of Victory Missionary Sisters Passionist Fathers Racine Dominicans School Sisters of St. Francis Sinsinawa Dominicans, Inc.
At the end of 2009, CCLF managed capital from 32 individual investors. Taken as a whole, their capital represented approximately 2.3% of funds in the lending pool.
Funders Bank Leumi USA Bank of America Foundation Builders Bank
Wieboldt Foundation
Sisters of Charity of the Blessed Virgin Mary, Dubuque, Iowa
Threshold Foundation
Sisters of Charity of Saint Elizabeth
Citi Foundation
Sisters of Mercy of the Americas Regional Community of Chicago
First Midwest Bank
Adrian Dominican Sisters
Sisters of the Presentation of the Blessed Virgin Mary
HSBC - North America
Basilian Fathers of Toronto
Sisters of St. Benedict
Amalgamated Bank of Chicago Cole Taylor Bank
Evangelical Lutheran Church in America
Individual Investors
Religious Investors
Charter One Foundation
Grand Victoria Foundation The John D. and Catherine T. MacArthur Foundation CCLF Annual Report | 15
2009-2010 Partners
Platinum Investors
JPMorgan Chase Foundation Marquette Bank MB Financial Bank The Northern Trust Company The Partnership for New Communities PNC Foundation
2009-2010 Partners
Polk Bros. Foundation The PrivateBank The Richard H. Driehaus Foundation Searle Funds at The Chicago Community Trust ShoreBank Taproot Foundation US Bancorp Foundation
Pro Bono Counsel Chapman & Cutler LLP Mark O’Meara Kaitlin Corkran Adam Henkel DLA Piper US LLP Peter B. Ross Holland & Knight Jeff Kuta 16 | CCLF Annual Report
Katten Muchin Rosenman LLP Geoff AuYeung Ari Krigel
Winston & Strawn LLP Devin Swaney Susan Wyse
Teresa R. Prim, Prim Lawrence Group
Kirkland & Ellis LLP Garry Jaunal Mercedes McFarland Natalia Sokolova
Auditor
Rummel Associates, Inc.
Mayer Brown LLP Robert Baptista Christopher Ellis Geeta Kharkar Stack Nadav Klugman Rachel Kulpers Bates Kristin Rylko McDermott, Will & Emery LLP Gerald Castro Ted Tuerk Sonnenschein Nath & Rosenthal LLP Tara M. Reedy Vedder Price P.C. Mark Diomede Robert Dixon William Hadler Wildman, Harrold, Allen & Dixon LLP Jeffrey Gray Kate Price
Desmond & Ahern, Ltd. Hugh Ahern, CPA
Consultants Albert, Whitehead P.C. Joy Aruguete, Bickerdike Redevelopment Corp.
Jay Readey, MetroAlliance Consulting, Inc. Seyfarth Shaw LLP Taproot Foundation Service Grant Team Urban Equities, Inc.
Special Thanks Jody Adler, Esq.
Steve Becker, SB Media Inc.
Victor Agusta
Community Accounting Services (pro bono)
David Arfa
Erickson-Pearson Search
Deborah Bennett
Great Realty Advisors
Sara Benson
Huckstep and Associates
Michelle Bibbs
Integrated Realty & Property Management
Elida Brooks
Lopez-Martin Associates, Inc.
Sylvia Arnold
Elyse D. Cherry
William O. McCollum
Center for Neighborhood Technology
Net-Telligence, Inc.
Chicago Community Ventures
NIA Architects
Chicago Jobs Council
Heather Parish
Chicago Rehab Network
Gregory Jeffries
Adam Natenshon
Brenda Vance
Joel Chupack
Tracie Johnson
Mary Jo Noriega
Livia Villarreal
Allison Clark
Rachel Johnston
David Oser
Ujjval Vyas
Community Accounting Services
Gladys Jordan
Partners for the Common Good
Jennifer Wang
The Law Project
Susan Kaplan, Esq.
Kevin Pierce
Gregory Whitehead
Jesse Davis
Sandra Kerr
Mark Pinsky
Woodstock Institute
Beth Dever
Susan King
David-Anthony Powell
Elise Zelechowski
Delta Institute
Warren King
Alderman Toni Preckwinkle
Alderman Pat Dowell
Gloria King-Wright
Dory Rand
Edwin F. Mandel Legal Aid Clinic
Deborah Kramer
Mike Regan
Ignacio Esteban
Jeff Kuta
Matthew Reilein
Nora Ferrell
Randy Rice
Nancy Firfer
Lake County Affordable Housing Commission
Art Fleming
Rafael León
Susan Rollins
Joel Freehling
Sara Jo Light
Salsedo Press
Stephen Gladden
Peter Ludwig
Lynn Sasamoto
Theresa Handley
Lutheran Volunteer Corps
Rachel Scheu
Growing Home
Carl Malone
Debra Schwartz
Housing Action Illinois
Glenn Mazade
Jim Shannon
Andrew Hubbard
Raymond McGaugh
Thurman “Tony” Smith
Eric Hudson
William A. Miceli
Geoff Smith
Karis Jackson
Zina Murray
Djuane Stoakley
Kevin Jackson
North American Students of Cooperation
John Tuohy
Allen A. Rodriguez
CCLF Annual Report | 17
Financials
CCLF maintained a high level of subordinate debt, with 33% of total assets in this category. CCLF’s capital and subordinate investments totaled 64% of total assets under management. By increasing overall resources and expanding permanent and subordinate capital—as credit became even scarcer for small and midsized community developers—CCLF closed 18 loans, an increase of 20% over 2008, for a total of $5.7 million. Cumulative investments leveraged increased from $775 million in 2008 to $906 million in 2009, a 17% increase. This is a 109% increase since 2005. CCLF saw a 93% increase in housing units supported through our lending, from 700 in 2008 to 1349 in 2009. However, as the housing and credit markets contracted severely, CCLF prudently increased loan loss reserves and devalued some assets on our balance sheet. In light of market conditions, CCLF also expanded our underwriting and due diligence while remaining flexible, and continued to monitor our portfolio closely.
CUMULATIVE INVESTMENTS LEVERAGED $906 $775 $538 $434
$479
In millions of dollars
2005
2006
2007
2008
HOUSING UNITS SUPPORTED
1,349
997 852 376
599
2009
1,325 700
522 613 Affordable and mixed income homes Affordable homes
344 2005 18 | CCLF Annual Report
2006
2007
2008
2009
CCLF grew total capital under management by 11%, from $23.6 million to $26.2 million, in 2009. The increase over the past five years is 70%. The composition of CCLF’s lending pool, separate from operating assets, is 55% ($13 million) from corporate sources, 25% from our internally generated funds and 20% from foundations, religious organizations, public funds, individuals and other. CCLF’s loan portfolio includes $5.8 million for minipermanent loans, $5.3 million in predevelopment loans and $3.5 for housing cooperatives, with $1.2 million in construction, permanent and equipment/working capital loans.
LENDING POOL CAPITAL Total: $23,729,230
Other $227,160, 1% Individuals $405,800, 2% Public $300,000, 1% Religious $1,925,000, 8%
Foundation $1,925,000, 8%
Net Assets $5,926,635, 25%
Corporate $13,019,636, 55% PORTFOLIO BY LOAN PRODUCT
TOTAL CAPITAL UNDER MANAGEMENT 2005-2009, In Millions of Dollars
$26.2 $23.6
2005
Construction $916,561.30, 5.8% Predevelopment $5,318,878.69, 33.6%
$17.0
2006
Permanent $238,842.71, 1.5% Equipment/Working Capital $56,796.95, 0.4%
$21.0 $15.4
Minipermanent $5,809,819.06, 36.7%
2007
2008
2009
Housing Cooperatives $3,495,763.98, 22%
CCLF Annual Report | 19
Statement of Financial Position As of December 31, 2009 (with comparative totals for 2008)
Operating
Lending Capital
2009 Total All Funds
2008 Total All Funds
ASSETS Current Assets Cash and cash equivalents
2,564,731
237,380
2,802,111
5,257,867
Investments
0
8,652,508
8,652,508
5,952,257
Notes receivable (net)
0
2,656,237
2,656,237
2,216,159
Grants and contributions, interest and others receivable
171,377
6,637
178,014
1,300,517
Property held for sale
120,001
120,001
275,000
20,212
20,212
10,262
Prepaids, deposits and other assets Interfund transactions Total current assets
(382,492)
382,492
0
0
2,373,828
12,055,255
14,429,083
15,012,062
Long-Term Assets 0
11,673,975
11,673,975
Fixed assets and other assets
Notes receivable (net)
86,770
0
86,770
87,395
Total long-term assets
86,770
11,673,975
11,760,745
8,556,195
2,460,598
23,729,230
26,189,828
23,568,257
Total Assets
Desmond & Ahern, Ltd., Certified Public Accountants, audited the financial statements for the fiscal year ended December 31, 2009 in accordance with generally accepted accounting principals and expressed an unqualified opinion. The audit was 20 | CCLF Annual Report
8,468,800
accepted by the CCLF Board of Directors and is available upon request (email invest@cclfchicago.org). CCLF remains committed to strengthening our financial position so that we can continue helping create communities where people thrive.
Statement of Financial Position (Cont) As of December 31, 2009 (with comparative totals for 2008)
Operating
Lending Capital
2009 Total All Funds
2008 Total All Funds
LIABILITIES Current Liabilities Accounts payable and other Notes and loans payable Total current liabilities Long-Term Notes and Loans Payable Total Liabilities
195,344
2,160
197,504
179,967
0
6,245,136
6,245,136
2,941,692
195,344
6,247,296
6,442,640
3,121,659
0
11,555,300
11,555,300
12,356,800
195,344
17,802,596
17,997,940
15,478,459
Net Assets Unrestricted
2,117,213
4,156,171
6,273,384
148,041
45,145
193,186
730,480
0
1,725,318
1,725,318
1,700,318
Total Net Assets
2,265,254
5,926,634
8,191,888
8,089,798
Total Liabilities and Net Assets
2,460,598
23,729,230
26,189,828
23,568,257
Temporarily restricted Permanently restricted
5,659,000
Notes: 1. Loan loss reserve allowance was $1,506,450 and $1,332,511 in 2009 and 2008, respectively. 2. Statement of financial position is condensed for presentation purposes only.
CCLF Annual Report | 21
Statement of Activities Operating
For the year ended December 31,2009 (with comparative totals for 2008)
Lending Operations
Unrestricted
Technical Assistance
Temporarily Unrestricted Restricted
Temporarily Restricted
Total
Revenue and support Grants and contributions
417,090
175,000
42,698
5,000
-
-
2,985
-
2,985
Donated services
300,093
-
-
-
300,093
Notes receivable interest income
831,315
-
-
-
831,315
Contracted services and workshop
Loan closing fees Investment income Unrealized/realized gain (loss) on investments
52,222
-
-
-
52,222
384,583
-
-
-
384,583
-
-
-
-
-
Loss on disposal of fixed assets Other Net assets released from restrictionssatisfaction of program restrictions Total public support and revenue
639,788
-
-
-
409
-
409
169,612
(169,612)
45,985
(45,985)
-
2,155,324
5,388
91,668
(40,985)
2,211,395
Expenses Program Administrative Fundraising Total expenses Change in net assets
1,175,235
-
149,033
-
1,324,268
437,483
-
-
-
$437,483
84,861
-
-
-
84,861
1,697,579
-
149,033
-
1,846,612
5,388
(57,365)
(40,985)
364,783
Net assets, beginning of year
1,716,833
124,223
59,415
1,900,471
Net assets, end of year
2,174,578
129,611
18,430
2,265,254
22 | CCLF Annual Report
457,745
(57,365)
Lending Capital
Unrestricted
Temporarily Restricted
Permanently Restricted
2009 Total All Funds
2008 Total All Funds
350,000
1,993,991
Revenue and Support Grants and Contributions
25,000
1,014,788
Contracted services and workshop
-
-
-
2,985
2,760
Donated Services
-
-
-
300,093
216,549
Notes Receivable interest income
-
-
-
831,315
784,294
Loan Closing Fees
-
-
-
52,222
77,295
Investment Income
-
-
-
384,583
342,230
Unrealized/realized gain (loss) on investments
(101,904)
-
-
(101,904)
65,380
Loss on disposal of fixed assets
-
-
-
-
(1,403)
Other
-
-
-
409
484
Net assets released from restrictionssatisfaction of program restrictions
501,697
(501,697)
-
-
-
Total Public Support and Revenue
749,793
(501,697)
25,000
2,484,491
3,481,580
Expenses Program
535,789
-
-
1,860,057
1,567,234
Administrative
-
-
-
437,483
457,818
Fundraising
-
-
-
84,861
72,316
535,789
-
-
2,382,401
2,097,368
Total Expenses Change in Net Assets
214,004
(501,697)
25,000
102,090
1,384,212
Net Assets, Beginning of Year
3,942,167
546,842
1,700,318
8,089,798
6,705,586
Net Assets, End of Year
4,156,171
45,145
1,725,318
8,191,888
8,089,798 CCLF Annual Report | 23
Staff President Calvin L. Holmes Vice President – Finance and Administration Jane I. Ames Vice President – Lending Rhonda McFarland Vice President – Technical Assistance and Sustainability Elizabeth C. Richards Senior Loan/Program Officer Mark Fick Senior Loan/Program Officer Paul Gakhal Senior Portfolio Management Officer N. Paul Elue Loan Closing/Portfolio Officer Clarice Norin Office Manager Juanita Walker External Relations Associate Emily Moen
Staff & Credits
Finance and Administration Associate Angela Bennett Lending Program Assistant Kate McInerney LVC Program Assistant Nga Nguyen
Credits Editor Emily Moen Design Tamarack Media, tamarackmedia.com Photography Steve Becker, beckermedia.com All photos taken by Steve Becker, unless otherwise noted.
CHAIR John L. Tuohy, Esq. Chapman and Cutler (retired) VICE CHAIR Susan Kaplan, Esq. The Law Project TREASURER Edward J. Hoynes Community Accounting Services, LLC SECRETARY Mohammed M. Elahi Andes Capital Group LLC Charles F. Daas Cambodian American Heritage Museum Toya Horn Howard, Esq. Real Estate Attorney Ed Jacob Neighborhood Housing Services of Chicago
Rafael M. Le贸n Chicago Metropolitan Housing Development Corporation Glenn M. Mazade Charter One Bank Patricia Y. McCreary Seaway Bank and Trust Company Raymond S. McGaugh, Esq. Finance Attorney Kay McNab, Esq. Winston & Strawn Richard S. Peabody Home Helpers Network Nancy Radner, Esq. Chicago Alliance to End Homelessness Matthew R. Reilein JPMorgan Chase & Co. Kathryn Tholin Center for Neighborhood Technology
Charles Walls ComEd
Allen Rodriguez Charter One Bank
COMMITTEE MEMBERS Leslie Davis ShoreCap Management
Lynn Sasamoto Community Representative
Stephen J. Gladden Illinois Housing Development Authority
Mark Spears Fifth Third Bank Brian Worth TLC Management Company
Charles Goetze Harris Bank
Board of Directors
Board of Directors
Charles Hall Builders Bank Cynthia Hall New Century Bank Erik L. Hall Citi Markets & Banking Gladys Jordan Interfaith Housing Development Corporation of Chicago DuWarn Porter Chicago Housing Authority
CCLF Annual Report | 25
Chicago Community Loan Fund 29 East Madison Street, Suite 1700, Chicago, IL 60602 phone: 312.252.0440 | fax: 312.252.0419 info@cclfchicago.org