The Community Reinvestment Fund, USA (CRF) is a national nonprofit organization headquartered in Minneapolis, MN, that operates a secondary market for community development loans. Our secondary market harnesses the power of the capital markets to drive financial resources to lending organizations working in low-income communities. With CRF's capital support, these organizations create and save jobs, build affordable housing, and fund community facilities that enhance the quality of life for underserved people.
CRF supports its community lending partners through an expert array of financial services:
Loan Programs: CRF provides long-term financing that helps small businesses purchase and renovate properties located in underserved communities, acquire equipment to strengthen their operations, and access additional resources to add staff and create jobs. CRF's financing not only helps address property deterioration and building vacancies, it also supports business ownership, the creation and preservation of jobs, wealth creation and an expanded tax base. It empowers small businesses to invest in their communities and expand economic opportunity.
CRF uses a combination of foundation contributions, program-related investments, and equity raised through the federal New Markets Tax Credit to finance and operate its core loan programs.
Loan Servicing: CRF's loan servicing department provides community lenders expert loan servicing while freeing their staff to originate more loans and to concentrate on program outreach. CRF's Contract Loan Servicing team has more than 70 years of cumulative servicing experience in both nonprofit and for-profit settings. We currently service more than 4,000 loans with a total value of approximately $270 million.
CRF's programs foster investment and economic activity in low to moderate income communities and target historically disadvantaged groups including women, minorities, and immigrants. CRF works directly with community development lenders, foundations, and institutional investors to fund loans to borrowers - small businesses, nonprofit service organizations, etc. Our borrowers in turn serve their communities through job creation and retention, affordable housing, and social services. CRF applies a robust assessment process to every loan we fund to ensure that it generates the greatest possible social impact for the local community.
Today, CRF has funded more than $1 billion in loans in over 690 communities across the United States and improved the lives of over 190,000 people. This impact includes the creation and retention of more than 39,500 jobs, the development of more than 16,500 housing units, and the establishment of 600 minority or women owned businesses.
CRF's loans foster the long-term revitalization of communities through sustained business investment and support for affordable housing and community facilities. CRF's loans allow our borrowers to grow their operations, build equity, hire employees, and contribute to the health and vitality of their local communities.
La Mexicana Tortilla Factory, a family owned small business in Hayward, Calif., benefited from the NMTC program through a partnership between the Bay Area Development Co. and Community Reinvestment Fund, USA (CRF). The low interest rate and 25-year term results in a lower debt payment, estimated to save the company $4,000 annually, with total savings of $28,000 over the seven-year period. The loan will additionally facilitate creating five new jobs and increased business in an underserved community. Full Story