Wilmington, N.C., May 29, 2024 — New Hanover Community Endowment (NHCE) is unveiling an Affordable Housing Investment Strategy, allocating up to $19 million to support existing and future housing programs. This investment approach aims to mitigate the ongoing affordable housing crisis in the area by supporting existing housing and preventing displacement, facilitating the production of new affordable housing units, and exploring the creation of a capital impact program for future housing projects.
Recent studies indicate that 35% of households in New Hanover County are cost-burdened, spending more than 30% of household income on housing expenses. NHCE’s Affordable Housing Investment Strategy seeks to catalyze positive change in addressing this crisis and enhance the quality of life in the New Hanover community.
“Our investment strategy underscores our unwavering commitment to addressing this challenge head-on, with a focus on tangible solutions and community collaboration,” said Network Officer Terri Burhans, who oversees the community development pillar for NHCE. “We recognize that housing is just one facet of the broader goal of enhancing residents’ financial stability, and we’re looking at both innovative and proven strategies to increase income and lower expenses for our residents.”
The Affordable Housing Investment Strategy is comprised of three key focus areas:
- Stabilization: Recognizing the urgent need to support existing housing and prevent displacement, the NHCE has allocated $8.1 million in core operating support over three years to nonprofit housing providers identified in the 2023 grant cycle. This crucial funding aims to address the challenge of accessing adequate support identified by community partners.
- Production: With a dedicated budget of up to $11.5 million in 2024, NHCE seeks to facilitate the production and rehabilitation of affordable housing units. A rolling grants cycle is established to identify eligible projects and guide applicants through the application process, ensuring maximum impact and efficiency.
- Capital: NHCE will explore creating a fund to provide low-cost capital for development projects aligned with the goal of increasing and preserving affordable housing. This collaborative effort involves engaging with city and county authorities, convening housing partners, and consulting subject matter experts to formulate actionable recommendations.
“With over $50 million in grant requests from the housing community, the 2023 grant cycle solidified the need for us to create this investment strategy,” said Chris Boney, chair of the NHCE’s Grants committee. “Our residents deserve a path to safe, stable, and affordable housing, and we’re eager to be part of the solution.”
Aligned with this strategy, NHCE’s 2024 grant cycle will support non-profit housing providers along with other organizations aligned with the Endowment’s pillars of education, social and health equity, community development, and community safety. NHCE is communicating with the nonprofit housing providers identified in the 2023 grant cycle to share this investment strategy and opportunity for funding.
As the affordable housing crisis evolves, NHCE acknowledges the need for sustained investments and engagement with housing stakeholders to drive meaningful change and alleviate the burden on residents. These investments are the first steps in what NHCE sees as a collaborative effort with local government and nonprofits to address this pressing issue.
“The affordable housing crisis is a nationwide issue, and one that impacts so many in our New Hanover County community,” said Bill Cameron, chairman of the NHCE board. “This comprehensive strategy represents a collaborative effort between the Endowment and the community, presenting solutions that help foster a thriving environment for all residents.