St. Anthony Foundation
Developer: St. Anthony Foundation
CDEs: Low Income Investment Fund, Bank of America
San Francisco, Calif.
The 2013 award for Small Business QLICI of the Year goes to the Low Income Investment Fund and Bank of America for their investment in the St. Anthony Foundation, a nonprofit that provides shelter, meals and rehabilitation services to San Francisco’s neediest residents. Operating in the Tenderloin district of San Francisco since 1950, the St. Anthony Foundation in 2013 combined multiple public and private funding sources to finance the construction of a new dining facility in a highly distressed neighborhood. St. Anthony raised $14 million for the development and the Low Income Investment Fund and the Bank of America provided new markets tax credit (NMTC) allocations as part of a $22.5 million transaction. Bank of America also provided $3.1 million in equity investment.
The transaction allowed Mercy Housing to separately finance the construction of a 90-unit affordable senior housing development above the new facility. A portion of the financing from the Mercy Housing development filled a critical gap in some of the early construction costs on the shared development site. This synergetic development is a shining example of how the use of new market tax credits can spur additional private investment.
Expected to open in late 2014, the new facility will feature a 40,000-square-foot dining room and will provide 45 percent more space to store food and perishables. This will enable St. Anthony to serve more than 3,000 meals a day. A free clothing program and a social work center will be relocated from another site, which serves approximately 29,000 individuals every year. The center provides valuable resources for homeless residents, including free clothing, interviews and children, while also offering services such as counseling, emergency assistance and help with financial literacy. Construction of the facility also created more than 300 construction jobs. St Anthony will pay wages above median levels to the center’s employees, all of whom will be residents of the surrounding, distressed neighborhood.
Congratulations to Low Income Investment Fund, Bank of America and St. Anthony Foundation for working together to achieve a synergetic development that will help thousands of San Francisco’s neediest residents.