NEWS

WIRES

OTHER

CDFI Fund Awards Expanding Businesses and Transforming Bay Area Communities

U.S. Department of the Treasury's Community Development Financial Institutions Fund (CDFI Fund) Director Donna J. Gambrell visited San Francisco today to meet with local CDFIs and view the positive impacts being made by the CDFI Fund's programs. One example of this impact was highlighted by a visit to a successful small business that has benefited from a loan made possible by the Recovery Act.

After being adversely affected by the economic downturn, Gentle Parking was able to find financing from the Opportunity Fund, whose Recovery Act award through the CDFI Program totaled $2 million. With plans to open a new location for the eco-friendly parking lot management company, Gentle Parking is committed to helping grow the local economy and increase its number of employees.

"This is an outstanding example of how Recovery Act awards made by the CDFI Fund are promoting investment in entrepreneurs and small businesses and bringing about fresh economic opportunities to Americans most in need," said Director Donna J. Gambrell. "It also embodies the values of possibility, work ethic, and hope that are at the center of the Obama Administration's economic recovery initiatives.

I commend the Opportunity Fund, and the other San Francisco based CDFIs - the Northern California Community Loan Fund and the Low Income Investment Fund - for swiftly utilizing their Recovery Act award to increase financing activities for small business, nonprofits, and community centers throughout the Bay Area."

Further highlighting the importance of financing provided by CDFIs, Director Gambrell visited the Latino community in the Mission District to tour the construction site of a new community center dedicated to integrated asset development and family support solutions. Plaza Adelante, which received financing through the CDFI Fund's New Markets Tax Credit Program, and a $2.8 million loan from the Northern California Community Loan Fund (NCCLF), is the product of a collaborative effort between NCCLF, the Mission Economic Development Agency, the City of San Francisco, and community partners.

Through a combination of both financing and technical assistance, the NCCLF is able to offer nonprofit clients such as the Mission Economic Development Agency consulting and specialized financial products tailored to meet the needs of the communities they serve.

Located in an area with among the highest concentrations of check cashing and pay-day lending establishments in California, Plaza Adelante will house more than ten organizations providing crucial services to low-income Latino families in homeownership, life skills, early childhood and after-school education, financial literacy and business development. Plaza Adelante will offer a convenient and effective "one-stop" center where Latino residents and many others can build their assets and transform their lives.

For more information about the CDFI Fund, visit http://www.cdfifund.gov

Source: U.S. Department of State