Written by Kim Stravolo, Chief Financial Officer at Mary Black Foundation.
In addition to grantmaking, Mary Black Foundation utilizes its investment assets to achieve its mission through Impact Investing. Impact Investing refers to the use of a foundation’s invested capital to generate positive social and financial returns. Unlike grantmaking, these investments are expected to be paid back, allowing for funds to be recycled back into the community in a way that cannot be done with traditional grants. Beginning in 2020, the Foundation’s Board of Trustees allocated up to 7% of its assets for local impact projects. The Foundation looks for investment opportunities that fit within the Health Equity Framework.
Using funds allocated for Impact Investments, the Foundation recently loaned Homes of Hope $258,000.
This loan, coupled with a grant in the amount of $126,000, will allow Homes of Hope to build seven single family homes in the Southside of Spartanburg.
Homes of Hope anticipates these homes will be ready by June 1, 2023, with monthly rents ranging between $695 and $995, depending on income.
In addition to providing affordable housing, Homes of Hope strives to build a trust-based relationship with each household by providing programmatic support with access to greater economic mobility resources.
They promote economic mobility by ensuring that no more than 30% of household income is spent on housing and energy.
Don Oglesby, President/CEO of Homes of Hope, commented,
“Philanthropy is the most impactful when it is paired with leading edge thinking, and the courage to have the willingness to innovate. Mary Black Foundation is doing both! This partnership will produce generational change for the families living in these market quality and energy efficient homes.”
In addition to a modest financial return to Mary Black Foundation, Mr. Oglesby anticipates the increase in affordable housing will create housing stability, measured by households receiving connections to economic mobility resources and by not paying more than 30% of their gross income on housing.
Safe, stable, and affordable housing is a social determinant of health, and thus an important investment to achieve the Foundation’s mission of improved health, wellness, and success in Spartanburg County.
Visit Homes of Hope’s website at www.homesofhope.org for information.
