LISC Fund Management, LLC (LFM) announced that the Dallas Housing Opportunity Fund (DHOF) has raised $41.5 million to advance the development of additional affordable housing throughout the city.

DHOF was founded in 2022 with $6 million in seed funding from the City of Dallas and has since attracted additional private investment, already investing $34 million in seven affordable housing developments. The fund is intended to alleviate Dallas’ worsening affordable housing crisis. DHOF particularly addresses the needs of renters, more than half of whom are considered cost-burdened and struggle to find high-quality, safe housing within their means.

“Housing is such a critical part of communities’ economic infrastructure,” said Tiffany Durr, president of LFM, which manages DHOF. “By expanding the fund with new investors, we will be able to support more development projects and help more residents find affordable housing close to good jobs, schools and other services that contribute to a good quality of life. “

While Charles Schwab Bank and KeyBank are long-time partners of LISC, this investor funding round includes a new partnership with BOK Financial for $3 million. BOK Financial offers a range of financial services to Dallas residents, businesses and communities. Along with $5 million each from Schwab and KeyBank, the new capital will be used as affordable loans for housing projects that meet the needs of low- to moderate-income people.

“BOK Financial is committed to making quality housing more accessible to Dallas residents,” said Gilbert Gerst, senior vice president of community development banking at BOK Financial. “Our investment in the Dallas Housing Opportunity Fund reflects our commitment to helping families find affordable housing near vital resources, fostering a more inclusive and thriving community for all.”

Since launching in September 2022, DHOF investments have supported nearly 500 affordable rental units and $130 million in total development costs. DHOF invested $5.4 million to support the $31 million project, developed by the nonprofit Resource Center of Dallas. Housing is affordable to people over 55 who earn 30 to 60 percent of the area median income (AMI), or $23,200 to $46,380 for a single-person household.

“We are pleased to work with LISC, the City of Dallas and our banking colleagues to finance much-needed affordable housing in one of America’s fastest-growing cities,” said Brian Maddox, director of lending and investments at Community Development Financial Institutions (CDFI ). at KeyBank. “Our investment underscores our commitment to improving the quality of life in underserved communities.”

LFM worked with the City of Dallas and TREC Community Investors, a local, philanthropic, real estate-focused organization, to launch DHOF in late 2022 and has since been raising and deploying capital to support local housing goals.

“There is an urgent need for more affordable housing in Dallas,” said Jamee Jolly, president and CEO of the Real Estate Council. “TREC Community Investors is proud to be a partner in this impactful collaboration and appreciates the support of the fund’s newest investors. Together, we will increase the supply of affordable housing in our region and build a stronger Dallas.”

LISC Fund Management, LLC (LFM) is a mission-driven impact investment firm that manages $840 million in assets across 11 national and local funds across the United States. LFM is committed to expanding access to safe, quality, affordable housing, promoting inclusive economic growth, and supporting small businesses and underserved communities. LFM is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC) and operates as a wholly owned subsidiary of LISC, one of the largest community development financial organizations in the country. These private funds are available only to eligible investors and are offered exclusively through their official offering documents.

Since 1979, LISC has invested $32 billion to create more than 506,302 affordable homes and apartments, develop 82.5 million square feet of retail, community and educational space, and help tens of thousands of people find jobs and improve their finances . Together, LISC and LFM work to close systemic gaps in health, wealth and opportunity, advance racial equity, and foster vibrant, resilient communities where people and local economies can thrive.

For 30 years, TREC Community Investors (TREC CI) has made catalytic investments with over 250 nonprofit organizations dedicated to transforming Dallas. TREC CI advances this work by creating equitable development that revitalizes the region’s most underserved communities. Using a place-based strategy that transforms a neighborhood block by block, TREC CI provides a combination of loans, equity-like investments and technical assistance from expert TREC members to work in a collective partnership with neighborhood leaders and community members.

Nearly 20 years ago, TREC CI’s first major site-based investment of $1.5 million helped create Klyde Warren Park. Community Investors is a 501c3 organization certified by the U.S. Department of the Treasury as a Community Development Financial Institution (CDFI).