Lake Forest-based lender Clearinghouse Community Development Financial Institution is launching a real estate investment division.
The organization is certified as a community development financial institution, or CDFI, by the U.S. Department of the Treasury. Its primary objective is providing credit and other financial services to underserved communities. It operates in various states including California, Nevada and Arizona, as well as Native American communities.
Clearinghouse last year drew $100 million in long-term debt from the federal CDFI Bond Guarantee Program. It has about $200 million in assets and recently received an “AA” rating from Standard & Poor’s Rating Services.
The organization’s real estate division will “acquire, develop, own and manage real estate assets … to enhance community development,” according to a statement.
It is “currently eyeing properties in Southern California, Las Vegas … and Phoenix for the first year,” said Doug Bystry, founder and chief executive. “With this new program, we have an opportunity to provide the capital needed in a structure that makes economic sense. … This will be a long-term sustainable source of income for Clearinghouse CDFI, in addition to providing community stabilization in low- to moderate-income communities.”
