LISC Fund Management (LFM), a wholly owned subsidiary of Local Initiatives Support Corporation (LISC), announced that the financial institution Truist had made a $10 million investment in November to the Dallas Housing Opportunity Fund (DHOF).
Truist, a Fortune 500 company, invested in the local private investment fund that is committed to financing housing in high-opportunity Dallas communities.
“What we don’t want is a city comprised [sic] solely of high-priced condos and investment properties. We don’t want a city where teachers, policemen, restaurant workers and other service providers have to live in the next town over,” said George Ashton, the president of LFM.
He continued, “What we do want is mixed-income communities where families can live and play and be educated close to where they work, where economic opportunity is spread more equitably across the city, and the opportunity to succeed is based not on where you’re born, but on your discipline and desire.”
The DHOF was seeded at $6 million from the City of Dallas and is designed to construct lower-cost units for households earning at or below 120% of an area’s median income.
“Like other major cities, Dallas needs more affordable housing for its working-class families,” Dallas Mayor Eric Johnson argued. “I am grateful to have private-sector partners such as Truist that are making significant investments in our city and its communities by helping us increase the supply of affordable housing to meet the growing demand. Together, through partnerships like this one, we are building stronger neighborhoods and a better city.”
LFM’s Ashton claimed that the objective of building quality housing in Dallas is not just a philanthropic mission but also a vital aspect of a healthy economy.
The Real Estate Council, a local powerhouse industry group, and its certified community development financial institution, Community Investors, joined with LFM to build 158 rental housing units located in East Dallas.
According to a news release, most of the housing units are meant to be affordable to families with low to moderate incomes.
According to the president of The Real Estate Council, Linda McMahon, city funding for housing has not been able to meet the growing demands of Dallas, which triggered the need for public and private partnerships such as LFM and DHOF.
Truist is the second investor in the DHOF after Sunflower Bank’s $7.5 million investment in October.
In June, Truist announced its commitment of $120 million alongside its foundation and charitable fund. The money will go toward supporting small businesses. This commitment included the $10 million to LISC.