The U.S. Department of the Treasury's Community Development Financial Institutions Fund (CDFI Fund) awarded 52 organizations $321.2 million today for the development of affordable housing and community facilities serving low-income individuals, families, and communities. These awards were made through the fiscal year (FY) 2023 round of the Capital Magnet Fund (CMF), and will support financing for the preservation, rehabilitation, development, or purchase of affordable housing as well as related economic development and community service facilities such as day care centers, workforce development centers, and health care clinics.
“The FY 2023 CMF awards will provide Community Development Financial Institutions and nonprofit housing organizations with the critical resources they need to expand the availability of affordable housing for thousands of families and individuals in need across the country,” said Acting CDFI Fund Director Marcia Sigal. “Today’s awards are projected to leverage more than $11.1 billion in private and public sector resources, all of which will be focused on addressing the shortfall in affordable housing that persists throughout our nation’s distressed and underserved communities.”
The awardees are required to leverage their awards with other private and public investment by at least 10 to 1, guaranteeing that a minimum of $3.21 billion will be invested in eligible projects across the United States. For the FY 2023 round, the awardees anticipate that these awards will leverage more than $8.6 billion in private investment.
The 52 awardees will collectively serve 48 states, the District of Columbia, Guam, and Puerto Rico. In all, 26 awardees (or 50% of the total awardees) plan to invest a portion of their award dollars in rural areas, with 12 of those organizations planning to invest at least one-third their award dollars in rural areas. Of the 52 total awardees, 29 are Community Development Financial Institutions (CDFIs) and 23 are non-profit housing organizations. The 52 awardees were selected pursuant to a competitive review of applications submitted from 144 organizations that requested more than $1.1 billion from the FY 2023 Capital Magnet Fund round.
FY 2023 Capital Magnet Fund Award Resources
About the CDFI Fund
Since its creation in 1994, the CDFI Fund has awarded more than $7.7 billion to CDFIs, community development organizations, and financial institutions through: the Bank Enterprise Award Program; the Capital Magnet Fund; the CDFI Rapid Response Program; the Community Development Financial Institutions Program, including the Healthy Food Financing Initiative; the Economic Mobility Corps; the Financial Education and Counseling Pilot Program; the Native American CDFI Assistance Program; CDFI Equitable Recovery Program; and Small Dollar Loan Program. In addition, the CDFI Fund has allocated $76 billion in tax credit allocation authority to Community Development Entities through the New Markets Tax Credit Program, and guaranteed bonds for nearly $2.5 billion through the CDFI Bond Guarantee Program.
To learn more about the CDFI Fund and its programs, please visit the CDFI Fund’s website at www.cdfifund.gov.
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