ANNUAL REPORT - Local Initiatives Support Corporation

2011
ANNUAL
REPORT
Dear Community Development Friends,
In 2011, new investments and initiatives across Detroit gave us
all reason for optimism.
However, neighborhood challenges related to declining property values, foreclosures, safety issues,
rising unemployment, and lack of access to quality education or health care persisted. Detroit LISC
worked to support initiatives and projects to address these neighborhood challenges; these are
highlighted in this annual report.
For all of us working with residents to revitalize Detroit’s neighborhoods, persistence alone was not
enough to face these complicated challenges. We had to begin changing the way we worked within
neighborhoods—and changing the way we worked together. We moved forward with the
understanding that we had to take new paths toward the same goal: to improve the quality of life
of Detroit’s residents.
For Detroit Local Initiatives Support Corporation (LISC), 2011 proved to be a year of change.
New staff and internal restructuring increased and improved our ability to serve Detroit’s
neighborhoods. The next evolutionary phase of Building Sustainable Communities changed the way
we supported neighborhood revitalization by focusing on smaller geographical areas to maximize
impact. We responded to immediate needs, including the ongoing foreclosure crisis, by supporting a first mortgage
lending model. Another immediate need was to support resident-driven safety initiatives in several neighborhoods.
Most importantly, we changed the way we worked with community partners by supporting the citywide systems change
movement to build a stronger collaborative model between the philanthropic community, government agencies,
community development corporations, and Detroit residents.
Our collective commitment to residents will strengthen and stabilize not just Detroit’s neighborhoods, but our ability
to serve our neighbors in 2012 and beyond.
This spirit of collaboration will continue to energize our important work in Detroit. As the city’s challenges persist,
one truth is quite evident: one agency or strategy will not be enough to face all of our neighborhood challenges, but
many community development partners working together can!
Tahirih Ziegler
Executive Director
Nick Khouri
Chair, Detroit LISC Local Advisory Board
2011 Investments
total i n v e stm e nts
$8,579,087
u n its o f h o u s i n g
fi nan ced
sq uar e feet o f co m m e rcial
r e al e state fi nanced
cw f s ite s
su ppo rted
r e s i d e nts s e rve d
by CWFs
298
7
safet y i n itiative s
su ppo rted cit y wi de
4
171,202
4,494
total le ve r ag e d
$88,103,849
Building
Sustainable Communities
The Building Sustainable Communities (BSC) strategy, first launched in 2008, expanded our focus beyond
affordable housing and commercial space development as neighborhood needs evolved. BSC meets those
needs by using physical development as the catalyst for improvements to the local economy, family wealth,
and safety, and improved access to education, healthcare, and recreational spaces.
The next phase of Building Sustainable Communities
In 2011, Detroit LISC launched the next evolutionary phase of BSC to focus
on smaller geographical areas. This next three-year phase will build upon
the successes of the 2008 – 2010 BSC phase and place a stronger emphasis
on resident engagement through Quality of Life planning processes. The
resident-driven Quality of Life plans will serve as the blueprints for how
we commit financial and technical resources in 2012 and beyond. The
planning processes and early action projects began in late 2011.
The five goals of Building Sustainable Communities
• Building the physical environment
• Stimulating the local economy
• Increasing family wealth and income
• Improving access to quality education
• Fostering safe, healthy environments
47 Detroit stakeholders on a bus tour to Indianapolis
4 www.detroit-lisc.org
Three neighborhoods were selected in 2011:
Grand/Woodward, Grandmont Rosedale, and Springwells Village
Grand/Woodward
With its central location in Detroit, Grand/Woodward is near key Detroit
institutions (including the Henry Ford Hospital), as well as Midtown and the
Woodward Corridor. This makes Grand/Woodward’s revitalization
strategically important. Improved physical surroundings and safety will help
to improve the quality of life for current residents – and attract new mixedincome residents wanting to live near the growing vibrancy of Midtown.
Vanguard Community Development Corporation is Grand/Woodward’s BSC
Convening Agency.
Grandmont Rosedale
This historic Detroit neighborhood has been hit hard by the foreclosure crisis.
As more homes were lost to foreclosure and abandonment, the area’s property
values began to fall, destabilizing a neighborhood that has traditionally been a
strong tax base for the city. However, the neighborhood’s history, its excellent
stock of large, traditional homes, and a well-organized, engaged community
are strong assets to build upon. Grandmont Rosedale Development
Corporation is Grandmont Rosedale’s BSC Convening Agency.
Springwells Village
Blight and crime continue to affect the quality of life in Springwells Village,
home to an ethnically diverse, blue-collar population. However, years of
investment and the efforts of engaged residents and nonprofits have built upon
the neighborhood’s assets. Vernor Highway is a strong commercial corridor,
and the All Saints Neighborhood Center and two parks – Weiss Park and Springdale
Green – are vibrant communal centers where children can safely play. Urban
Neighborhood Initiatives is Springwells Village’s BSC Convening Agency.
www.detroit-lisc.org 5
Building the Physical
Environment
total investments in
building the physical environment
$6,790,917
Stabilizing property values and
Detroit neighborhoods
Southwest Housing Solutions (SWHS) Short Sale
Demonstration and First Mortgage Lending
Programs
Detroit LISC provided a $1 million loan to SWHS for a Short Sale
Demonstration program through Michigan Lending Solutions (MLS),
which allows distressed homeowners to stay in their homes at a
reduced payment. Detroit LISC also provided a $169,000 seed grant to
SWHS for a First Mortgage Lending Program that will provide
foreclosure prevention counseling and easier access to first mortgages
for prospective Detroit residents.
Detroit Land Bank Authority (DLBA)
The DLBA received an additional $1 million investment from LISC to
acquire 150 properties in Detroit neighborhoods, including Boston
Edison and Morningside/East English Village, under the DLBA’s NSP1
contract. Detroit LISC also provided the DLBA with a $275,000 grant
and a $225,000 recoverable grant to acquire and rehabilitate 10
foreclosed homes in the historic Boston Edison neighborhood.
6 www.detroit-lisc.org
Providing affordable housing and creating commercial space
Community Health and Social Services (CHASS)
Health Center
The Bell Building
In 2010, Detroit LISC provided a $3 million loan to CHASS through funds made
Organization (NSO) for the restoration of the historic Bell Building, which
available by the State Farm Insurance Company. In 2011, ground broke for the
is being repurposed as a mixed-use building with 155 units of permanent
new 48,000-square-foot facility, which will double the number of uninsured and
housing for the homeless and 75,000 square feet of office space for NSO
underinsured residents CHASS serves per year. The center will open in May 2012.
supportive services.
Detroit LISC approved a $1.8 million loan to Neighborhood Service
www.detroit-lisc.org 7
Stimulating the
Local Economy
total investments in
stimulating the local economy
$355,670
Connecting local businesses
with local talent
Job Connections Pipeline
Habitat for Humanity ReStore
Detroit LISC provided a $100,000 grant to Focus: HOPE to staff and coordinate
Habitat for Humanity received a $72,180 recoverable grant from LISC to open
a geographically-focused job development program that connects area talent
a second ReStore location in Detroit, which sells new and used building
with area businesses. A Job Connections Coordinator connects residents in the
materials and home furnishing items at reduced prices. The store opened in
Central Woodward/North End neighborhood to local businesses and
January of 2012, and provides residents with affordable home improvement
employment opportunities in their own community.
supplies while raising funds to help further Habitat for Humanity’s mission to
provide safe, affordable housing for low-income families.
8 www.detroit-lisc.org
Increasing Family
Wealth and Income
total investments in
increasing family wealth and income
$778,000
Increasing family income and reducing
debt – one resident at a time
Greater Detroit Centers for Working Families (CWF)
Detroit LISC, in partnership with the
United Way for Southeastern Michigan,
continued to support the CWF model,
which promotes long-term financial
health for residents by offering job
training and connections, financial
literacy classes, and access to federal
benefits. Detroit LISC provided $400,000 in grants, which leveraged $378,000
in federal Social Innovation Fund (SIF) dollars. The Greater Detroit CWF
expanded from five sites to seven in 2011. To date, more than 4,494 Detroit
residents have been served, and another 2,484 are currently enrolled. In 2011,
among CWF participants:
• 509 found new employment
• 366 reported an increase in net income
• 190 reported an increase in net worth
• 125 reported higher credit scores
www.detroit-lisc.org 9
Improving Access
to Quality Education
total investments in
improving access to quality education
$100,000
Preparing children to be tomorrow’s community leaders
Early education
Education initiatives in 2012 and beyond
Vanguard Community Development Corporation received a $100,000 grant
Detroit LISC will continue to support early education initiatives, charter
to hire an early education coordinator, who is working with the Skillman
schools, and afterschool programs that enrich the lives of Detroit youth,
Foundation and other education-focused initiatives to promote a new early
provide safe afterschool alternatives, and provide them with opportunities to
education model that will better prepare Detroit’s youth for their academic
develop new creative and technical skills.
careers from grade one through college.
10 www.detroit-lisc.org
Fostering Safe, Healthy
Environments
total investments in fostering
safe, healthy environments
$297,000
Creating safe streets for
families and children
Central Woodward Safety Initiative
Focus: HOPE received a $75,000 grant from LISC to expand its Safety
Initiative, which coordinates safety, crime prevention, blight
reduction, and code enforcement activities. Among its 2011
achievements, the Safety Initiative increased the number of block
watches from five to 15, expanded the In-school Safety Station
partners at Central High School, and trained youth in a VIN-etching
campaign.
Citywide Safety Programs
Detroit LISC provided an additional $141,250 in grants to safety
initiatives across the city. In Grandmont Rosedale, a neighborhood
resident was hired as a Neighborhood Safety Coordinator and is
spearheading a campaign to establish a Neighborhood Benefits
District, which will provide annual funds to effectively reduce crime.
The Southwest Detroit Business Association Nuisance Abatement
Program continued to engage residents in documenting nuisances,
which led to a highly publicized incarceration of a local drug dealer.
www.detroit-lisc.org 11
AmeriCorps
The AmeriCorps mission is to improve lives, strengthen
communities, and foster civic engagement through service
and volunteering. The AmeriCorps program strengthens the
community development industry by building capacity and
engaging more people in community development.
Using technology to promote safety
One Detroit LISC AmeriCorps member serving as a Safety Technology
Coordinator with Focus: HOPE helped to create classes to teach residents how
to create block clubs and patrols, and has taught nearly 200 residents how to
use an online community communication tool, everyblock.com. Another
AmeriCorps member serving as a Crime Prevention Coordinator in Grandmont
Rosedale operates a crime alert web site where residents can send and receive
crime alerts via e-mail.
In 2011, 19 AmeriCorps members provided Detroit nonprofit organizations with approximately
23,233 hours of human capital time for work in safety initiatives, workforce development,
and community engagement.
12 www.detroit-lisc.org
Local Advisory Board
Mr. Nick Khouri (Chair)
Mr. William A. Collon
Ms. Burney Johnson
Vice President & Treasurer
DTE Energy Company
Vice President, Market Manager for
Community Development Banking
PNC
Deputy Director
Michigan State Housing Development
Authority (MSHDA)
Ms. Chris Cressy
Ms. Elizabeth Sullivan
Vice President – Agency
State Farm Insurance
Vice President
Community Foundation for
Southeast Michigan
Ms. Tonya Allen (Vice Chair)
Vice President, Program
The Skillman Foundation
Ms. Anne Beck
Vice President, Administration & Finance
College for Creative Studies
Mr. James S. Bernacki
Mr. David O. Egner
President
Hudson-Webber Foundation
Ms. Laura Trudeau
Senior Program Director
The Kresge Foundation
Senior Vice President
Comerica Incorporated
Chief of Police Ralph L. Godbee, Jr.
Detroit Police Department
Mr. John Van Camp
Mr. David Campbell
Ms. Karla Henderson
President
McGregor Fund
Group Executive of Planning
and Facilities
City of Detroit
President/CEO
Southwest Solutions
Ms. Melonie Colaianne
President
MASCO Corporation Foundation
Mr. Harvey Hollins, III
Mr. Harold R. Varner
President
Varner & Associates
Director, Office of Urban Initiatives
State of Michigan
Mr. Ray Waters
Tahirih Ziegler
Jacqueline Burau
Ulises Silva
Executive Director
Fund Development and
Financial Management Director
Communications Program Officer
Angelita Espino
Sustainable Communities Director
Sustainable Communities Senior
Program Officer
Stephanie Inson
Frieda Williams
Administrative Assistant
Assistant Program Officer
President
Detroit Development Fund
Detroit LISC Staff
Victor Abla
Lending and Portfolio Director
Anthony Batiste
Loan Originator and Underwriter
Rodney Benifield
CWF/Workforce Program Officer
Michelle Story-Stewart
Brandon Ivory
AmeriCorps and Safety Coordinator
www.detroit-lisc.org 13
A special thanks to our
2011 donors for their support
Private Sector Support
Public Sector Support
Ally Financial
Corporation for National and Community Service
Bank of America
U.S. Small Business Administration
Charter One Foundation
U.S. Department of Housing and Urban Development
Comerica (Charitable Foundation)
DTE Energy Foundation
Federal Home Loan Bank of Indianapolis
Foundation to Promote Open Society
W.K. Kellogg Foundation
The Kendeda Fund
John S. and James L. Knight Foundation
The Kresge Foundation
MASCO Corporation Foundation
McGregor Fund
The Skillman Foundation
The Walmart Foundation
14 www.detroit-lisc.org
Detroit Local Initiatives Support Corporation
660 Woodward Avenue, Suite 1111
Detroit, MI 48226
Phone 313.596.8222
Fax 313.596.8237
www.detroit-lisc.org
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