Needs Assessment for CA CLT Revolving Loan Fund

Sept. 2015.
Needs Assessment for California Community Land Trust Network Revolving Loan Fund
The needs assessment is to evaluate lending and investment needs for acquisition of new CLT projects in California. It is based on the Bay Area consortium assessment
we did in Aug. 2015.
Purpose of the needs assessment is for California CLTs to evaluate what type of loan fund, uses, terms etc. we need, prior to inviting potential investors/lenders and fund
administrators to participate in designing the fund.
Please return to Francis Mcilveen ([email protected]) or Ian Winters at the NCLT ([email protected]) / 510-548-7878 x343
Organization Data
Date filled out:
Lead Contact:
Service area in general:
Counties served:
Assembly & Senate districts served:
Congressional districts served:
Approx. market value of portfolio:
Number of current units:
Home-keeper user?
National CLT Network Member?
Survey Question
What are the types of uses for which
you would borrow? (e.g. gap/bridge
financing; long-term or intermediate
term temporary subsidy)
How many projects per year do you
anticipate needing such loans?
What is the minimum term needed?
What interest rate range would work
for your CLT?
What amount of loan (range) for
each project? How much per unit /
what is the typical number of units?
Describe the source & terms of your
likely take-out funding or subsidy.
List your preference & reasons for
having (or not-having) the
underwriting of loans done by an
independent 3rd party.
What are the income ranges for
target households in anticipated
projects? (which could affect the
capital sources of RLF) please attach
a chart w/ #s of units by AMI
category if possible.
Does this money need to function as
equity? Would you anticipate being
able to bring any down
payment/equity to the table in
addition to this? Would you
anticipate future residents being
able to bring funds (equity or loan)
to the table?
What types of projects do you
anticipate using these funds with (e.g
traditional ownership, co-operatives,
collective households, resident
controlled / managed rental, condo,
Would it help projects if the loan
fund could act as a provider of
temporary subsidy? E.g. for a 10 to
20 year term.
We are thinking of something like a
Community equity fund—long term
$, where lenders are paid off with a
modest rate of return. Payoff might
be structured via incrementally
increased housing payments (cashflow contingent), thus taking
advantage of cyclical discrepancy
between rents & incomes in project
(as nominal AMI grows). For
 Min 10 to 15 year term (longer
than 1st loan--enough so--that 1st
lender has no objections to it, or
to the ability to get it’s loan paid
off at term via refi).
 Repayment is cash flow
contingent, but balloon at term.
Would your organization be able to
assist in fundraising for a state-wide
fund? Would a mechanism to target
funds to your local area be important
for your donor base?
Do you have any suggestions for
prospective investors, lenders, or
any suggestions on structural models
to use?