Richmond, Va. – Today, the Richmond Association of REALTORS® (RAR) announced the launch of a “Quality of Life” investment strategy that will be funded through a loan to Virginia Community Capital (VCC) and donations to The Community Foundation Serving Richmond and Central Virginia (TCF).
The Association has long adhered to the principle that people do not buy a home, unless and until they have first bought into a community’s quality of life. Two essential elements of a community’s quality of life are: a variety of affordable housing options and excellent educational choices, especially K-12. Without these essential underpinnings, the Richmond region will not be as competitive as it should be in terms of retaining talent, attracting jobs and stimulating new development.
“RAR has a long history of advocacy on behalf of, as well as philanthropic support of, both affordable housing and public education,” noted Dawn Bradley, 2016 President of RAR. “Given the scale of the challenges, we felt now was the time to deepen our commitment and create an ongoing source of income to support the initiatives we care deeply about,” she concluded.
RAR has invested $1 million in a three year LION loan (Local Impact Opportunity Note) with Virginia Community Capital (VCC). Virginia Community Capital is a nonprofit Community Development Financial Institution (CDFI) and state chartered banking entity with assets of $150 million. VCC provides loans for affordable housing and economic development projects throughout the Commonwealth. Jane Henderson, CEO & President of VCC noted: “The Richmond Association of REALTORS® is truly a national leader by creating this innovative solution to enhance the quality of life for the Richmond region. Bringing together impact investing and philanthropy in this model to tackle affordable housing and education issues in our community is groundbreaking.”
The interest income paid by VCC on the LION note will be donated to The Community Foundation (TCF). TCF is Virginia’s largest community foundation, managing over $678 million in charitable assets and deploying these resources in ways that help create a healthy and thriving regional community. In addition to the annual interest earned on the LION loan, RAR will dedicate 10% of the annual distribution from its technology company to The Community Foundation. With the guidance of TCF, these donated funds will be used to invest in area non-profits that are working to enhance K-12 educational offerings and outcomes. “Even as we have much to celebrate, Richmond faces complex issues that call for bold and innovative solutions,” said Sherrie Brach Armstrong, CEO of The Community Foundation. “A partnership with VCC and RAR means that we can combine our unique strengths to ensure that individuals and families have opportunities to achieve economic stability and personal success.”
“We’re incredibly excited to be working more closely with VCC and TCF—two organizations for which we have tremendous respect. The opportunity to invest our resources wisely and reap a solid return, while at the same time investing in our community’s quality of life, was something we just couldn’t resist. We hope this will serve as an innovative model for other organizations wanting to make an impact on the quality of life in their communities as well,” concluded RAR CEO Laura Lafayette.
About Virginia Community Capital:
With offices in Christiansburg, Richmond, and Norfolk, Virginia Community Capital (VCC) is dedicated to the prospect of building wealth for all through our lending, deposits, and advisory services. As a community development financial institution (CDFI), our mission is to offer innovative, flexible financial products designed to support housing and community development ventures, increase jobs, and encourage sustainable communities. In partnership with our for-profit Benefit Corporation, Community Capital Bank of Virginia, VCC offers loan capital broader and more flexible than bank lending in low-to-moderate income communities in underserved geographies and markets. Learn more at vacommunitycapital.org.
About The Community Foundation:
The Community Foundation Serving Richmond and Central Virginia (TCF) connects the generosity of donors with community needs. We work with local individuals, families and organizations to build endowment, partner with nonprofits to address needs through grantmaking, and provide leadership on important community issues. Since our inception in 1968, TCF has awarded $750 million in total grants and has grown to become the largest of Virginia’s 27 community foundations. To learn more, please visit TCF online at www.tcfrichmond.org.
About the Richmond Association of REALTORS®:
RAR is central Virginia’s largest trade association, serving the over 4,000 REALTORS® who live and work in the region. The Association seeks to provide its members with the resources, services and community engagement they need to conduct ethical, professional, and profitable businesses. Through its non-profit, the Partnership for Housing Affordability, RAR is deeply engaged in numerous quality of life initiatives including efforts to expand public transportation, to improve the quality and accessibility of K-12 public education, to strengthen and grow the region’s workforce, and to increase the variety and supply of affordable housing.
For more information, contact:
Laura Lafayette
Chief Executive Officer
Richmond Association of REALTORS®
llafayette@rarealtors.com
(804) 422-5007 (office)
Teri Lovelace
Senior Vice President, Chief Impact Officer
Virginia Community Capital
tlovelace@vccva.org
(804) 793-0978 (office)
Kimberly Russell
Senior Vice President, Marketing and Communications
The Community Foundation
krussell@tcfrichmond.org
(804) 330-7400 Ext. 117
