Community Development Corporations (CDCs) are an established business model across the nation. A CDC is a nonprofit organization that works to improve communities through programs like affordable housing, economic development, and social services. CDCs are typically locally based and led by community residents, business owners, and civic leaders. The mission of a CDC is to help residents escape poverty and revitalize their neighborhoods by leading community planning and assisting with community improvement programs, among other activities. No CDC serves Sonoma Valley.
The graphic below shows typical phases of any physical housing project, whether it's new construction or rehabilitation of existing homes. The SVCDC will focus on partnering with other entities to lead the early phases, shown in orange. Once a viable project business plan is created, the CDC will champion the project to assemble implementation partners. The SVCDC will focus on “missing middle” housing that is currently not being pursued by either market-rate real estate developers or nonprofit affordable housing developers.
The SV CDC's Role in Project Development
The SVCDC is focused on “missing middle” housing that is currently not being pursued by either market-rate real estate developers or nonprofit affordable housing developers.
For example, the SVCDC could lead the effort to increase the affordability of the new housing to be built at the former Sonoma Developmental Center. This effort is separate from the current high-profile topic of environmental impacts. Increasing affordability at SDC requires working with for-profit and nonprofit developers, financing institutions, the landowner (in this case California Department of General Services), and relevant government agencies such as California Housing and Community Development. It's the type of complex, proactive, public-benefit role that a CDC is designed for.