New investment in Strategic Neighborhood Fund is part of JPMorgan
Chase’s $150 million commitment to Detroit’s comeback
DETROIT–(BUSINESS WIRE)–JPMorgan Chase has committed $15 million to support Detroit’s
neighborhoods to help more Detroit residents benefit from the city’s
continued economic recovery. As part of JPMorgan Chase’s $150 million,
five-year commitment to Detroit, this new investment, which combines a
$10 million, long-term, low-cost loan and $5 million in philanthropy, is
expected to expand economic opportunity in these neighborhoods.
These commitments will enable the Strategic Neighborhood Fund to finance
critical neighborhood projects that lack access to traditional
financing, help attract additional capital, and over time provide local
residents with more access to affordable housing and goods and services
where they live and work.
The announcement was made today at the Detroit School of Digital
Technology in Southwest Detroit with senior JPMorgan Chase, community
and government leaders.
“With the help of partners like JPMorgan Chase, we are taking the
successful strategies that worked in our Downtown and Midtown areas and
scaling it to bring physical improvements and development to
neighborhoods across our city,” said Detroit Mayor Mike
Duggan. “We’ve got a lot more work to do and together, we’ll expand
the good work being done to ensure more Detroiters are participating in
This new commitment is primarily targeted towards projects in commercial
corridors across ten neighborhoods. These neighborhoods were selected
because they are crucial to extending Detroit’s economic recovery to
more residents, support local small businesses, and provide quality jobs.
“There are so many clear signs of recovery across Detroit. The
leadership of the Mayor and the strategic focus of so many partners has
truly been the key to this progress,” said Peter Scher, Head of
Corporate Responsibility, JPMorgan Chase. “We want this growth to
benefit all Detroiters, especially those who have lived here their whole
lives. That’s why we continue to invest our long-term capital in more
A History of Sustainable Investments in Detroit
JPMorgan Chase is combining its business and philanthropic expertise to
address some of Detroit’s biggest economic challenges. In 2014, JPMorgan
Chase helped launch two community development loan funds in Detroit —
the Detroit Neighborhoods Fund and Chase Invest Detroit Fund through two
Community Development Financial Institutions (CDFIs)—Capital Impact
Partners and Invest Detroit.
These funds, which included $40 million in low-cost debt from JPMorgan
Chase, helped finance the construction of mixed-use real estate
development, affordable multi-family housing and high quality
residential, commercial and retail developments, as well as provided
flexible capital for small and medium-sized businesses throughout
In total, these funds have leveraged over $230 million in additional
funding from outside sources to support residential and commercial
development. The loans helped create 828 residential housing units,
296,000 square feet of commercial space and created or saved 538 jobs.
Also since 2014, JPMorgan Chase’s Community Development Bank Group
contributed nearly $150 million in New Markets and Historic Tax Credit
transactions and construction loans to affordable housing projects
throughout Detroit for the development of 747 units of affordable
housing, as well as grocery stores, schools and commercial space.
Looking ahead, the firm’s new $15 million commitment supports a
market-based approach to creating sustainable loan programs for
residential and commercial development, small business access to capital
and home rehabilitation.
In addition to offering capital and philanthropic support, the firm has
contributed the skills and expertise of its employees to build the
capacity of its nonprofit partners. In 2017, four employees from
JPMorgan Chase’s Service Corps were embedded with Invest Detroit to
assist with developing Strategic Neighborhood Fund metrics as well as a
framework for prioritizing neighborhoods for successful future
“JPMorgan Chase’s original investment of resources and expertise
transformed our capacity so that we could start to bring revitalization
tools into the neighborhoods,” said David Blaszkiewicz, President and
CEO, Invest Detroit. “This additional investment allows us to
greatly expand this tested and measurable approach that JPMorgan Chase
was so instrumental in creating.”
About JPMorgan Chase & Co.
JPMorgan Chase & Co. (NYSE:JPM) is a leading global financial services
firm with assets of $2.6 trillion and operations worldwide. The Firm is
a leader in investment banking, financial services for consumers and
small businesses, commercial banking, financial transaction processing,
and asset management. A component of the Dow Jones Industrial Average,
JPMorgan Chase & Co. serves millions of customers in the United States
and many of the world’s most prominent corporate, institutional and
government clients under its J.P. Morgan and Chase brands. Information
about JPMorgan Chase & Co. is available at www.jpmorganchase.com.
About Invest Detroit
Invest Detroit is a mission-driven lender, investor, and partner that
supports business and real estate projects that will ignite economic
growth in Detroit. Invest Detroit’s goal is to increase density and job
opportunities in a way that is strategic and inclusive.
JPMorgan Chase Contact:
Stephanie Bosh, Stephanie.firstname.lastname@example.org
Invest Detroit Contact:
Dan Austin, email@example.com