In Q3 2015, the Housing Partnership Fund (HPF), one of HPN’s two CDFIs, closed a $4MM credit facility with Wesley Housing Development Corporation. Wesley usedthese funds to support the predevelopment costs of their robust development pipeline of multifamily properties in Northern Virginia. After initially discussing an unsecured Enterprise Development loan structure with the borrower, the structure was modified to a collateralized line of credit to allow a larger facility amount than would be available on an unsecured basis.
The HPF Loan Facility allowed us to simultaneously address several strategic objectives: 1) pursue new development opportunities within our pipeline; 2) maintain our working capital for core operating activities and; 3) solidify our balance sheet to maintain organizational flexibility. The loan product and its flexibility is a key component to allow us to increase our impact on the communities and residents we serve.Shelley Murphy President and CEO, Wesley Housing Development Corporation