Loading...
HomeMy WebLinkAboutCRA-R-25-0056 Exhibit BMIAMI HOMES FOR ALL Technical Assistance Initiative for Small & Emerging Developers in Omni Miami Building Wealth & Affordable Housing: Since 1985, Miami Homes For All (MHFA) has advocated to ensure that all Miami -Dade residents have a safe, affordable place to call home.' We are especially concerned with households earning 80% of the area median income or less. Nearly all of those pay more than they can afford for housing. Also, our real estate market is missing 90,000 units priced affordably for those earning up to 80% AMI, which is five times the number of units missing for those earning up to 120% AMI (17,000). To address this need, MHFA implemented the Connecting Capital and Community Initiative (3C Initiative) in partnership with the Center for Community Investment,2 funded by JPMorgan Chase. The 3C Initiative advances racial equity by (1) providing technical assistance to minority developers and owners of small -to -medium scale affordable housing, (2) providing predevelopment funds to these emerging businesses led by Black or African -American leaders, and (3) engaging residents and community -based organizations around affordable housing development and preservation. Since launching the 3C Initiative in 2021, MHFA has supported a pipeline of 15 projects totaling 150 units preserved or constructed within the County. Currently, there are three 3C Initiative projects within the Omni CRA area. We are seeking support from the Omni CRA for our technical assistance services to these and to approximately 8-10 other small-scale affordable housing projects in which the CRA is investing. Summary Small, nonprofit, and emerging developers shared that navigating the development process is arduous. Between accessing funds, understanding the fundamentals of the construction process, and securing permits, there are numerous barriers for these fledgling businesses.' These challenges yield slowed or stalled development, resulting in an even shorter supply of housing units and more instances of displacement. Businesses led by women, Black, and Latino owners are more likely to experience these significant hurdles.' An investment from the Omni CRA would support 12 months of technical assistance to address these gaps faced by smaller developers and property owners seeking to build or rehab affordable housing within the Omni CRA region. This technical assistance will increase the number of affordable housing units for renter households earning below 80% of the area median income. Goals • Improve Miami's ecosystem for smaller -scale affordable housing developers and property owners. 1 More about MHFA can be found online at httos://www miamihomesforall org/. 2 More about the 3C Initiative Miami can be found on the MHFA website: https://www.miamihomesforall.orq/3-c Shelterforce 2023 article written by Eric Anthony Johnson: https://shelterforce. org/2023/08/25/nonprofit-affordable-housing-developers-navigate-troubled-waters/#: :text=Financi al%2Olosses%20and%20cash%2Dflow,that%20attracts%20i nvestors%20and%20residents. 4 Urban Institute's 2024 Case Study on Housing Developers in Miami by Brett Theodos, Jorge Gonzalez-Hermoso, Cole Campbell, and Noah McDaniel: https://www.urban.orq/research/publication/housing-developers-miami. 1 • Increase or preserve the stock of affordable housing within the Omni area to prevent further displacement of residents. These two goals will be achieved by providing technical assistance to approximately 10 developers to create or preserve about 100-150 units. A majority of these units will be priced for households earning up to 80% of the area median income. The remainder will be for households earning between 81-120% AMI. Proposed Budget TECHNICAL ASSISTANCE SUPPORT FOR SMALL & EMERGING DEVELOPERS/OWNERS Budget Line Item Description Subtotal Technical assistance consultants: Lisa Martinez of LM Genuine Solutions, Sandra Socarras, Marvin Wilmoth of Intersection Ventures, MHFA staff, and potentially other consultants Technical assistance providing predevelopment and development services for affordable housing projects. $150,000.00 Total $150,000.00 MHFA will match these dollars with $300,000 in predevelopment grants (for three of these projects), as well as other funds supporting our technical assistance program. Omni CRA funds will also be matched by additional dollars secured through our technical assistance, including hundreds of thousands in county funds through the NOAH grant program, which are in the process of being allocated thanks to our support. Our Process Phase 1:Engage Developers & Owners MHFA will partner with the Omni CRA to provide technical assistance to already identified developers/owners. Phase 2: Tool Creation MHFA will create the necessary tools per developer to support them in realizing their projects. Technical Assistance Elements Phase 3: Ongoing, customized sus sort MHFA will work with each developer to expand their capacity and support each project with specific needs. We will walk them through the development process. Phase 4: i Implementation Support MHFA will provide education on best practices in engaging prospective tenants and support them on ensuring displacement prevention. Phase 5: Follow1Jp & Networking MHFA will provide follow-up engagement services to ensure projects are completed and support access to any applicable services. Additionally, MHFA will support a network of developers and owners to promote connectivity and networking. 2 Our technical assistance, provided for 12 months, will include customized tools for each developer to expedite their deal, including but not limited to assistance with: • Financial analysis, including sources and uses of funds; • Applying for and securing public and private funding and financing; • Creating renderings and architectural designs; • Applying for and securing permits; • Identifying and securing qualified general contractors and other vendors; • Conducting project management; • Learning best practices in asset management and neighborhood engagement. MHFA will also connect these developers with a local community organization, Touching Miami With Love, to provide resident engagement and perspective on these developments. This work is funded by other donors, and no funding from Omni CRA will be used to support this work by Touching Miami With Love. Finally, MHFA will convene the developers as part of a cohort to share lessons learned along the way. We are happy to provide additional details about this program upon request. Contact Information Annie Lord, Executive Director alord@miamihomesforall.orq 1305.321.2663 3