A group of seven leading foundations and nonprofits have partnered with the City of New York to support affordable housing in the city.
As public land dwindles and real estate prices rise in New York City, land available for affordable housing development is expensive and hard-to-find.
To bolster development of housing for low-income people, the $200 million New York Acquisition Fund is being created to spur construction or rehabilitation of 30,000 affordable housing units over the next decade by helping developers acquire private property.
To date, the Ford Foundation, John D. and Catherine T. MacArthur Foundation, Rockefeller Foundation and Starr Foundation have committed a total of $26.5 million to the fund, and the effort hopes to attract an additional $13.5 million from foundations.
The projected $40 million from foundations will be used to create a loan guarantee fund to cover default risk.
The City of New York will give $8 million to the fund and local banks and financial institutions have committed $160 million.
The Open Society Institute will provide operating support for the fund’s start-up, the Enterprise Foundation will serve as managing partner and the Local Initiatives Support Corporation will be general partner.