Lending

Overview
The California Community Foundation seeks to build the capacity of local nonprofits to obtain financing so they can continue to address critical needs in the community. Loans support the work of nonprofit organizations in our core areas of health, housing, education, and related programs serving low-income Angelenos. Common uses are for real estate purposes such as acquisition of a building to operate or expand programs, as well as for working capital to support program expansion or stabilization. Lending is provided in two categories:
1. Loans to established Community Development Financial Institutions (CDFIs) to leverage funding from private and public sources. In addition to making loans the CDFIs provide training and support to nonprofit borrowers.
2. Loans provided directly to nonprofits, either for working capital, community-serving facilities, or affordable housing developers to acquire land. Loans terms are from two to three years and typically secured by real estate in first priority position, but other structures may be considered depending on project sponsor, deal structure and other guarantees.
Contact
Ben Winter
Senior Program Officer, Housing
(213) 413-4130, ext. 211
bwinter [@] calfund [.] org
Eligibility
In addition to CCF’s general eligibility requirements, to be eligible for PRI funding, proposed activities must:
- Be focused in Los Angeles County.
- Be linked to CCF’s priority areas including health, affordable housing. education, immigration, nonprofit working capital and/or other foundation initiatives.
- Have a strong lending track record and financial performance over time.
- Have documentation of market need to be served, and ability of proposed lending activity to provide prudent basis for repayment.
- Prove that a loan will leverage other funding sources from other investors.
Nonprofit organizations should contact the foundation’s selected intermediaries for loan application information and terms.
How to Apply
If your organization meets the eligibility criteria, a phone call with foundation staff may be requested to discuss a potential proposal. A loan application normally includes:
- Background on your track record.
- Summary of the proposed activity to be supported through a loan.
- Proposed use of proceeds, both in terms of structure and timeline for draws.
- Documentation that the proposal will fulfill the eligibility criteria.
- Identified timeline for repayment.
- Relevant background materials as attachments.
Additionally, nonprofit organizations are also encouraged to contact other foundation lending partners (listed below) for their loan application information and terms.
Other Lenders
The lenders below have a history of community development lending and experience in Los Angeles. When you contact lenders, they will want to know what the loan is for, the amount you need, when you need it, how long you need it for, your planned source(s) of repayment, and what collateral you have to offer as security.
Questions to consider are what interest rates they offer, what fees they charge, repayment schedule, and if it has a prepayment penalty. For your organization, take into account the staff time or legal fees that may be incurred to take on debt.
Contact names, numbers, or emails are listed on the following websites:
National organizations (many with Los Angeles offices):
- Corporation for Supportive Housing primarily focuses on solutions to homelessness, helping finance acquisition and predevelopment expenses for supportive housing developers.
- Enterprise Community Partners
- Local Initiatives Support Corporation
- Low Income Investment Fund
- Nonprofit Finance Fund
- Capital Impact Partners
Organizations based in Los Angeles

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