Small and Medium Multifamily (SMMF) Loan Program

Small and Medium Multifamily (SMMF) Loan Program is a partnership between the Land Bank

Twin Cities, Inc. (“Land Bank”), Local Initiatives Support Corporation (“LISC”), and the City of Minneapolis. The goal of the program is to get community control over small-to medium multifamily (SMMF) buildings defined as 2-49 units in Class B and C buildings that are currently without government subsidy.

Through this program, the Land Bank and the City of Minneapolis will identify SMMF rental properties at risk of market conversion and evaluate the property based on location, condition, adjacent acquisition opportunities, current affordability and gentrification risk. The City of Minneapolis will participate in each LISC SMMF loan made to the Land Bank to acquire, rehabilitate (critical repairs), and/or operate a SMMF Property in Minneapolis in amounts determined by LISC; provided, however, that the City’s zero interest portion shall only be applied for eligible uses as outlined in the program guidelines. Subject to the foregoing, the City share will be a maximum of one-half of the financing for each eligible project/property provided by LISC, up to a maximum of $50,000 per unit, as determined by LISC in each instance based on the needs of the eligible project/property.

LISC will execute the Participation Agreement with the City of Minneapolis to carry out its participation in accordance with these guidelines. Properties may be sold to non-profit organization with a mission of providing long-term affordable or mixed-income housing and demonstrated experience and capacity in owning and operating SMMF housing or developers and investors with ties to the neighborhoods where they are purchasing property upon City Council approval.