A new initiative to boost affordable housing in Cleveland has officially launched, following significant support from local government and private sector partners. The Cleveland Housing Investment Fund (CHIF), spearheaded by LISC Fund Management (LFM), secured an initial $38 million commitment, including an $18 million investment from the City of Cleveland and $20 million from KeyBank. This public-private partnership aims to stimulate $100 million in affordable housing development, with a focus on addressing long-standing systemic inequalities in underrepresented communities.
The fund will provide financial support to developers, particularly those who have faced barriers in accessing capital. By creating opportunities for mixed-income rental housing and homeownership, CHIF hopes to spur economic growth while addressing Cleveland’s urgent need for affordable housing. The rapid rise in rents across the city, particularly in low-income and middle-income neighborhoods, has highlighted the critical need for such an initiative.
Mayor Justin Bibb emphasized the importance of collaboration in tackling the housing crisis, stating that investment in underserved neighborhoods is essential to fostering growth and prosperity across the city. With Cleveland City Council’s recent approval of the legislation, CHIF will soon begin its next steps—seeking additional corporate and philanthropic investments and launching an application process for developers seeking financing.
KeyBank, through its Community Development Financial Institution Lending and Investment group, has committed $20 million to support the fund. Brian Maddox, leader of KeyBank’s CDFI Lending and Investment, underscored the bank’s dedication to affordable housing solutions that uplift communities and provide safe, stable homes for families.
LFM will manage the fund, bringing experience from other similar initiatives across the U.S. Kandis Williams, executive director of LISC Cleveland, noted that LISC’s commitment to Cleveland, dating back to 1981, continues to focus on affordable housing, economic development, and financial stability. The launch of the CHIF, Williams said, adds another vital tool in advancing equity and opportunity for Clevelanders.
The fund’s launch represents a significant opportunity to address the city’s housing inequities and stimulate growth in communities that have long been underserved. Developers and investors are eagerly awaiting further details on how they can participate in this transformative initiative.