Partnerships between bank...

[LCDEW at aol.com]

There was a session at the recent Community Lending Institute in Washington,
put on by the Neighborhood Reinvestment Training Institute, about building
effective partnerships for community development lending. You might contact
them at 202-376-2642 to ask for those materials.

In terms of evaluating CDC's--I'd suggest finding out who their funders have
been over the past couple of years, and contacting some of them. Did they
feel they got what they paid for? I'd also look for management continuity
over the years. Look at the board and see if it has a good mix of people
from the community being served and outsiders with business experience and
access to resources. Find out whether the CDC has borrowed money before, and
from whom. It's really a lot like any business partnership--do your due
diligence.

The above refers more to traditional CDC's (i.e., neighborhood-based
community organizations engaged in housing development, providing services
and supporting business development) as opposed to Bank CDC's, which are a
very different animal.

Eric Weaver, Executive Director
Lenders for Community Development (multi-bank CDC in San Jose, CA)
408-241-3601
LCDEW@aol.com


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