Clearinghouse CDFI Achieves Major Milestone with $100 Million Bond Repayment

Major Financial Milestone for Clearinghouse CDFI

Clearinghouse Community Development Financial Institution (CDFI) has made headlines by fully repaying its first $100 million bond, issued through the U.S. Department of the Treasury’s CDFI Bond Guarantee Program. This landmark event not only showcases the organization’s financial competence but is also a significant testament to its commitment to community development.

Overview of the Bond

The bond was issued back in 2014, with the initial draw occurring shortly after on July 30 of that year. Its repayment symbolizes a pivotal moment for Clearinghouse CDFI, emphasizing their ability to adeptly manage complex capital projects from inception through to full repayment. Through this $100 million allocation, they funded 81 loans amounting to a total of $196 million, which were used to finance vital community development projects across eight states: Arizona, California, Nevada, New Mexico, New York, Oregon, Pennsylvania, and Texas.

Impact on Local Communities

These initiatives have sparked significant economic activity, contributing to the creation of 2,253 permanent and construction jobs, while also safeguarding 725 existing positions. The financing has successfully generated or preserved 718 units of affordable housing. The projects funded by the bond include diverse endeavors such as educational institutions, healthcare facilities, cultural centers, and various commercial spaces, covering approximately 3.0 million square feet in total.

Douglas Bystry, the Founder, President, and CEO of Clearinghouse CDFI, stated, “The successful repayment of our first $100 million bond reflects disciplined execution from origination through repayment. We deployed capital strategically and maintained strong portfolio performance with positive, measurable results.” This highlights their robust method of delivering capital responsibly and ensuring community benefits.

Future Prospects

Clearinghouse CDFI continues to oversee the portfolio of loans from the CDFI Fund Bond Guarantee Program, which is performing exceptionally well. Overall, through their full bond portfolio, they have financed projects in 19 states, positively impacting over 1.1 million individuals. The outcomes include the generation of 4,718 permanent and construction roles while retaining 6,320 jobs, alongside the creation of 2,866 affordable housing units and the support of 77 community facilities. Collectively, these projects account for a staggering 14.9 million square feet of space that has been constructed, preserved, or rehabilitated.

Commitment to Community Development

Since its establishment in 1996, Clearinghouse CDFI has consistently focused on lending to low-income and underserved communities across the U.S. Working tirelessly, the organization has dispersed $2.8 billion in loans across more than 2,770 projects. This commitment has resulted in the creation or preservation of over 45,250 jobs and 14,000 affordable housing units, thus benefiting more than 5.2 million people.

With an impressive track record of profitability spanning 26 consecutive years, Clearinghouse CDFI illustrates that mission-driven lending can flourished while maintaining financial discipline. As a certified B Corporation, they emphasize the merger of profit with purpose, aiming to deliver tangible community outcomes throughout their operational framework.

Learn more about their initiatives and projects at www.ccdfi.com.