Gateway Neighborhood Fund joins mission to attract new Northside homeowners
The St Louis Association of Organizations’ (SLACO) campaign to attract 100 new homeowners to North St. Louis keeps building with launch of the Gateway Neighborhood Fund.
The GNF will focus on returning a functional mortgage market to sections of North St. Louis that currently lack one. It will initially target eight neighborhoods – Academy, Baden, Hamilton Heights, North Pointe, Walnut Park West, Walnut Park East, West End and Visitation Park.
“SLACO is always looking to support innovative programs and is extremely happy to support the Gateway Neighborhood Fund Collaboration as they work to increase investment into neighborhoods that currently face the negative impacts of the ‘appraisal gap.’ Our goal is to attract 100 new homeowners to North St. Louis” said SLACO Executive Director Kevin B. McKinney.
The GNF is a partnership between lenders and nonprofits designed to address a recommendation of the Segregation in St. Louis: Dismantling the Divide released in 2018.
The lack of a functional mortgage market in many of the region’s minority neighborhoods is driving Black homeownership rates lower and increasing the “wealth gap” between white and African American households.
GNF will also help current homeowners retain and regain home values in these neighborhoods. Based on a successful program in Detroit, the GNF program has now come to St. Louis.
With SLACO serving as Community/Media partner, the GNF is now ready to offer this innovative financing model in the initial target areas.
“The Metropolitan St. Louis Community Reinvestment Act Association (MSLCRA) is proud to be one of the original members of the dedicated team that created the Gateway Neighborhood Fund (GNF),” said Nikki Woelfel, MSLCRA chair.
The MSLCRA is a professional organization of member banks that work together on initiatives related to the CR) and Community Development.
“We wanted to be at the table with other members of the community to address housing challenges and make mortgage credit more available in underserved sectors of our community. GNF looks to be a game-changer for neighborhoods and homeowners who want to see real change and growth in their backyards. Today is an exciting day for GNF, the City of St. Louis and MSLCRA,” Woelfel said.
