Dallas Housing Opportunity Fund Reaches $41.5M with New Investments for Affordable Homes

From Staff Reports

Three investors announced last week through LISC Fund Management, LLC, that they’re contributing a combined $15 million to the Dallas Housing Opportunity Fund for affordable housing development across the city. The donations from Charles Schwab Bank, KeyBank, and BOK Financial bring the fund’s total to $41.5 million.

Launched in 2022 with $6 million in seed funding from the City of Dallas, DHOF has since attracted additional private investments and already invested $34 million across seven affordable housing developments. The fund is designed to mitigate the worsening affordable housing crisis in Dallas. DHOF particularly addresses the need for renters, more than half of whom are considered cost-burdened and struggle to find quality and safe housing within their means.

“Housing is such a critical piece of the economic infrastructure of communities,” said Tiffany Durr, president of LISC Fund Management, which manages DHOF. “By expanding the fund with new investors, we will be able to support more development projects and help more residents find housing they can afford near good jobs, schools, and other services that contribute to a good quality of life.”

While Charles Schwab Bank and KeyBank are longstanding partners of LISC, this round of investor financing includes a new partnership with BOK Financial for $3 million. BOK Financial provides 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 deployed as affordable loans to housing development projects that will meet the needs of people with low-to-moderate incomes, officials said in a press release.

Resource Center of Dallas Breaks Ground on Oak Lawn Place, North Texas’ First Affordable Housing For LGBTQIA+ Senior Citizens

Since launching more than two years ago, DHOF investments have supported nearly 500 affordable rental units and $130 million in total development costs. Oak Lawn Place, for instance, is a newly opened 84-unit development for seniors that provides services specifically geared to the needs of older LGBTQIA+ residents. DHOF invested $5.4 million to support the $31 million project, which was developed by the nonprofit Resource Center of Dallas. Apartments are affordable to people over 55 who earn 30 to 60% of the area median income.

LISC Fund Management 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 been raising and deploying capital since then 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 from the fund’s newest investors. Together we are increasing the supply of affordable housing in our region and building a stronger Dallas.”