Investment from OFN's Finance Justice Fund is helping Genesis Community Loan Fund in Brunswick, Maine, meet the demand for affordable, climate-resilient housing for older residents.
CDFI Funds Energy Efficient Affordable Housing for Seniors in Maine
Client: Avesta Housing
Client Location: Westbrook, ME
CDFI: Genesis Community Loan Fund
CDFI Service Area: Maine
Pre-development loans for affordable housing for seniors, with support from OFN’s Finance Justice Fund
Avesta Housing is a respected nonprofit serving southern Maine, working in response to the growing demand for affordable housing. The organization has always aimed to enhance clean energy and efficiency in both new developments and renovations of existing properties, but resources for such efforts are historically limited.
The Maple Grove Elderly Housing project started after Avesta identified a 3+ acre site in Westbrook, Maine, to build homes for seniors. The immediate challenge was to secure the site in a competitive real estate market and then develop plans and financing for an energy-efficient, climate-resilient project.
Genesis Community Loan Fund Deploys Critical Capital for Affordable Housing
Traditional financing is often unavailable in the early stages of affordable housing development due to the complexity of funding and lengthy timelines. Recognizing these challenges, Avesta partnered with OFN member Genesis Community Loan Fund, a community development financial institution (CDFI) in Maine with a shared commitment to affordable housing.
Through OFN’s Finance Justice Fund, Genesis extended a loan to help Avesta acquire the site and begin predevelopment. This early-stage investment gave Avesta the time and resources to design a project with higher energy efficiency than would have otherwise been possible.
“Genesis is proud to join CDFIs across the country that are exemplifying the power of flexible, mission-driven financing to build clean energy solutions and climate resilience into affordable housing and other critical community facilities,” said Liza Fleming-Ives, Executive Director at Genesis. “Our investment in Avesta Housing’s Maple Grove Elderly Housing project addresses Maine’s housing crisis while advancing climate solutions. We are committed to doing more of that through collaboration across the state.”
Maple Grove Elderly Housing Development Advances Clean Energy and Local Jobs
The Maple Grove Elderly Housing project will provide 60 energy-efficient affordable units for approximately 90 seniors earning between 50-80% of the area median income in a region with high demand. Additionally, it will create 667 local construction jobs and additional property management positions, while also addressing housing inequities. It will attract $22.6 million in community investment.
Designed to be fully electric, the project will reduce greenhouse gas emissions through a heat pump system for energy efficient heating and cooling, with plans for solar energy integration. Residents will enjoy year-round comfort with efficient climate control and stabilized utility costs, even in harsh Maine winters.
“We’re not only addressing the demand for affordable senior housing but also leading the way in integrating clean energy solutions that benefit both residents and the environment,” said Rebecca Hatfield, Executive Director and CEO of Avesta Housing.
The Maple Grove Elderly Housing project exemplifies a transition to a clean energy future, aligning with Genesis’ mission to bridge gaps and build resilient communities. It serves as a model for affordable housing that combines climate resilience and long-term sustainability.
CDFIs Create Pathways to Energy Efficient Affordable Housing
At a time of high demand for affordable housing, people from low-income communities may find they don’t meet the stringent requirements needed to qualify for a home mortgage from a traditional financial institution. In addition, they are frequently priced out of quality rental housing.
Additionally, climate risks are also amplified for communities of color and low-income communities, including the high costs of heating and cooling systems to address extreme temperatures particularly in older homes, yet clean energy and other sustainability solutions are often expensive and out of reach for low-income communities.
CDFIs help people build wealth through homeownership financing and coaching. This creates sustainable, energy efficient affordable housing by investing in people and places, not credit boxes. CDFIs nationwide have financed $2 billion annually in mortgages. In 2022, OFN member CDFIs helped support the development or rehabilitation of nearly 2.4 million affordable housing units nationwide.
To learn more about how OFN prioritizes affordable housing, visit our affordable housing page.
To read other stories about quality affordable housing funded by CDFIs, visit OFN’s impact stories page.
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