LISC grant could fund market-rate housing

An emergency ordinance currently in Cincinnati City Council's Finance Committee could provide the City with more money for the predevelopment of market-rate housing.

The ordinance would allow the Cincinnati Development Fund to grant $225,000 of its $1 million in Cincinnati Housing Development Fund LLC Initial Restricted Purpose Grant funds to the Local Initiatives Support Corporation's (LISC) Recoverable Grant Pool.

LISC would combine this grant with $225,000 from the United Way of Greater Cincinnati and their own $225,000 match.

The Recoverable Grant Pool provides forgiveable loans to developers and non-profits of between $5,000 and $100,000 at 0 percent interest for a maximum term of 24 months, with repayment due at the earlier of the maturity date or the close of construction financing.

Funds are restricted to market-rate development and can only be used for:

* The cost of an option to purchase property to ensure site control during predevelopment
* Architectural, engineering, or site planning
* Fees for construction estimates
* Legal and accounting expenses
* Environmental reviews, appraisals and market studies
* Application fees for permits and for public financing

LISC has administered the Recoverable Grant Pool for more than seven years.

The next meeting of the Finance Committee is Monday, June 23 at 1 PM.