SEPTEMBER 2022.
Housing costs are forcing many Coloradans – including educators, emergency responders, seniors, and workers in health care, transit, retail, and hospitality – out of their communities. More than 80% of Coloradans say that the rising cost of housing is an extremely serious concern. [1]
Colorado Proposition 123, the “Dedicate State Income Tax Revenue to Fund Housing Projects Initiative,” is on the November 8 ballot in Colorado. Weave Social Finance (Weave) and its Colorado Housing Accelerator Initiative (CHAI) program are proud to stand with a coalition of more than 250 leading organizations in support of Proposition 123.
Proposition 123 would create a State Affordable Housing Fund and dedicate one-tenth of one percent (0.1%) of the state’s existing income tax revenue to fund housing programs. Approximately $300 million annually would be raised through the initiative, which would be used to provide down payment assistance for first-time homebuyers, support lower rents, and develop affordable housing in the State.
Mike Johnston, former state senator and current CEO and President of Gary Community Ventures (a CHAI investor), said: “We’re going to need a permanent stable revenue source committed to keeping housing affordable in this state if we’re going to solve that problem… What this will get us is 10,000 more affordable units every year in Colorado that teachers and nurses and firefighters and people can have a place to live.” [2]
The funds raised through Proposition 123 would also be used to create an affordable housing equity program to make investments in multi-family rental units and offer “tenant equity” benefits to residents, which help them build wealth over time. CHAI’s Tenant Equity Vehicle program, developed as part of its debt and equity funding platforms, is an example of this type of shared-prosperity model.
[1] Source: The “Yes on 123” Campaign.
[2] Source: CBS Colorado, “Housing initiative makes it on the November Ballot.” August 19, 2022.
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ABOUT WEAVE SOCIAL FINANCE
Weave Social Finance, LLC, specializes in facilitating “triple bottom line” impact investments in affordable housing and early-stage businesses. Weave was founded in Denver in 2012 and is the sponsor and investment manager of the Colorado Housing Accelerator Initiative. Learn more about Weave at www.weavefinance.com.
ABOUT COLORADO HOUSING ACCELERATOR INITIATIVE
The Colorado Housing Accelerator Initiative is the housing investment practice of Weave Social Finance, LLC. CHAI is an impact-first social enterprise that pools mission-driven capital and deploys it to middle-income housing projects in Colorado through both debt and equity funding. Beginning in 2020, Weave Social Finance incubated the CHAI program as part of its regional impact investment strategy.
Learn more about CHAI at www.chaifunds.com.
CONTACT
team@weavefinance.com