Presentation on theme: "Neighborhood Stabilization The Effect of the Foreclosure Crisis on Asset- Building in Minority Communities Insight Center for Community Economic Development."— Presentation transcript:
Neighborhood Stabilization The Effect of the Foreclosure Crisis on Asset- Building in Minority Communities Insight Center for Community Economic Development Webinar Sharon Price National Housing Conference
Charles Lavin--Confronting the Neighborhood Impacts of Foreclosure
Allan Mallach Presentation—Thinking strategically about the Neighborhood Stabilization Program State and local implementation capacity may be limited: – Experience and savvy in land acquisition – Maintaining vacant properties – land banking – Scattered site rehabilitation and reuse – Marketing properties Partnerships – with CDCs, developers, Realtors, others – are critical.
Allan Mallach Presentation—Thinking strategically about the Neighborhood Stabilization Program 1.Resources should be targeted to areas destabilized or at risk of destabilization from vacant and foreclosed properties. 2.Resources should be used in ways that reflect the housing market dynamics of targeted neighborhoods. 3.NSP should be combined with other funds and complementary activities leading to sustainable neighborhood stabilization.
National Community Stabilization Trust The National Community Stabilization Trust is sponsored by: Enterprise Community Partners, Inc. Housing Partnership Network Local Initiatives Support Corporation NeighborWorks America The Trust and its Sponsors will focus on four key activities: The Trust will provide a more efficient and cost-effective mechanism for transferring foreclosed properties from servicers and investors to local groups working to stabilize targeted communities. The Trust will aggregate capital from national private and philanthropic sources and make financing available to support local efforts focused on the objective of stabilizing communities. The Sponsors of the Trust will coordinate their efforts to build local capacity, organize local collaborations, and share best practices to develop effective neighborhood stabilization programs. The Trust will serve as a focal point and a voice for the housing industry in the arena of foreclosed property reuse and community stabilization.
Michigan Michigan Land Bank Fast Track Authority (MLBFTA). The MLBFTA has a portfolio of NSP eligible properties that require demolition, site clearance and maintenance for the allowable 10 year holding period as well as properties suited for rehabilitation and resale. These properties are located throughout the state however; a majority is located in Detroit and Out Wayne County. As demonstrated by HUD’s NSP funding allocation to Detroit and Wayne County, this area is among the highest need area for the state. MSHDA is awarding up to $10 million to the MLBFTA from the $58.21 million prioritized for the unmet needs in the balance of sate.
Massachusetts The Neighborhood Stabilization Loan Fund (NSLF) is a program sponsored by the Commonwealth and administered by Massachusetts Housing Investment Corporation (MHIC). Loan funds are made available by MHIC to for-profits or non-profit organizations that have clear plans to acquire vacant, abandoned or foreclosed properties in troubled neighborhoods consistent with the standards established in this Plan. HERA/NSP funds will be used to subsidize the rehabilitation of properties in target locations.
The Neighborhood Stabilization Program, a CDBG Component Neighborhood Stabilization Program Resources: NSP Website has links to HERA Law, NSP Notice, allocations, questions and answers, best practices, and more) www.hud.gov/nspwww.hud.gov/nsp PowerPoint presentations from HUD Summit: http://www.hcdi.com/housing_summit/what.html http://www.hcdi.com/housing_summit/what.html Summary of Notice by CHAPA: http://www.nhcopenhouse.org/2008/10/summary- issued-for-hud-neighborhood.html http://www.nhcopenhouse.org/2008/10/summary- issued-for-hud-neighborhood.html
Neighborhood Stabilization Program Resources: www.Stablecommunities.org (NeighborWorks) www.Stablecommunities.org www.Housingpolicy.org (Center for Housing Policy) www.Housingpolicy.org – http://www.housingpolicy.org/foreclosure- response.html http://www.housingpolicy.org/foreclosure- response.html Datasets with foreclosure "needs scores" for CDBG jurisdictions and at the ZIP Code level within each state. Draft State NSP Plans
Neighborhood Stabilization Program Resources: Recovery, Renewal, Rebuilding: A Federal Reserve Foreclosure Series – http://stlouisfed.org/RRRSeries/event_overview.html http://stlouisfed.org/RRRSeries/event_overview.html Confronting the Neighborhood Impacts of Foreclosure – http://stlouisfed.org/RRRSeries/event_4.html http://stlouisfed.org/RRRSeries/event_4.html NHC Open House – http://www.nhcopenhouse.org/2008/08/foreclosure- prevention-and-neighborhood.html http://www.nhcopenhouse.org/2008/08/foreclosure- prevention-and-neighborhood.html