Charlottesville, VA, March 15, 2008.  Habitat for Humanity of Greater Charlottesville (Habitat) today announced that the Hunter Smith Family Foundation of Charlottesville has made a visionary gift of $1,000,000 to support planning and development of Habitat mixed-income affordable housing communities in the Charlottesville area.  The gift is the largest ever received by the Habitat affiliate and is allocated in approximately equal parts to three development initiatives. 

“The Hunter Smith Family Foundation’s gift is a powerful endorsement and we are thrilled that the Foundation shares the Habitat vision,” said Lynne Conboy, Chair of Habitat.  Successful implementation of the ambitious long-range Habitat plan will require partnerships with individual and foundation donors, other non-profits, community service organizations, local builders, and both state and local governments. “We hope this creative philanthropy will inspire other donors to embrace this strategy,” said Ms. Conboy.

“We have in our community a wonderful organization in Habitat, which allows families to help themselves and feel a great sense of pride in their achievement,” says Hunter J. Smith of the Hunter Smith Family Foundation.

The Hunter Smith Family Foundation’s lead gift enables Habitat to accelerate completion of its development on Nunley Street in Fifeville by extending Paton Street and creating a matching grant for six new Habitat homes.  The funds will also be used for design, planning and site development in the Sunrise Trailer Park in Belmont.  Thirdly, the gift funds initial research and planning studies at Southwood Mobile Home Park, as well as allocating significant dollars for urgently needed infrastructure and repairs in Southwood to make the present community livable for the   residents during the next five years while planning and rezoning are underway.

Land development requires a huge investment, and much more is needed to continue the development work for all three Habitat properties.  “Support from other major donors in the community is needed to assure a supply of affordable land now and in the future,” said Ken Hankins, Habitat Chief Operating Officer.  The Habitat strategy is designed to employ the same approach used by for-profit developers who acquire and then rezone their land, recognizing economic gains many times the investment in the rezoning process.  As a non-profit developer, Habitat can create the same economic value and then return that value to the community.  Habitat will construct housing for residents who cannot afford market-rate homes, and make land available to partners in both the non-profit and for-profit sectors to build homes in attractive mixed-income communities.  “These partnerships are the essence of the strategy.  This is all about the entire community coming together to address the affordable housing crisis,” Hankins said.

Capital devoted to the land development effort does not include the funds needed for actual construction of the homes. Habitat home construction costs are typically donated by individuals, families, high school and college students, faith communities, foundations, corporations and governments.  Area residents and Habitat partner families volunteer thousands of construction labor workdays each year. “Habitat homes are sold to hard working partner families whose interest-free mortgage payments are used to fund additional Habitat homes.  “These families also commit to significant ‘sweat equity’ in helping to build their own home as well as those of other Habitat families,” said Overton McGehee, Executive Director of Habitat.  Habitat for Humanity of Greater Charlottesville is pioneering innovative strategies to address the affordable housing crisis by being the first Habitat affiliate in the U.S. to purchase trailer parks with the intention of redeveloping them to higher density mixed-income neighborhoods.  Habitat believes this will become a new national model for non-profit organizations, local builders, and local governments to work in partnership to redevelop trailer parks.

Habitat’s first mixed-income development is a four-acre property on Nunley Street in Fifeville that was rezoned for 35 homes, with Fifeville neighborhood encouragement, by the City of Charlottesville.  It will provide 18 Habitat units, to be sold to households that earn 25% to 60% of area median income.  In addition, between six and 10 units will be built by Creative Housing, a separate non-profit organization established by Habitat.  Creative Housing will sell homes to households that earn 60% to 120% of area median income.  Seven market-rate units will be built by local builders and sold on the open market.  The first six Habitat homes were constructed during a one week “Builders Blitz” in 2006.  This was accomplished by a partnership between Habitat, 11 local builders and six local architects, Better Living and the Nunley family, and a number of businesses who donated labor and materials.  St. Thomas Aquinas Catholic Church, Charlottesville Youth United, Montague Miller Realtors, and the Episcopal Churches of Region XV will sponsor four more homes.  A Habitat partner who also works at the University will purchase another home, sponsored by University of Virginia employees.  Construction of the newly built Nunley Street was made possible through the generosity of Hunter Craig and Coran Capshaw.  Habitat plans to complete the Nunley Street development in 2010.

The second development, and Habitat’s first trailer park transformation, is Sunrise Park located on two acres on Carlton Avenue in Charlottesville.  Habitat intends to replace the 17 trailers with a minimum of 48 townhouses and condominium units in a well-planned neighborhood that includes affordable homes for the Sunrise residents who want to stay.  Sunrise Park is situated on the bus line so that residents will have easy access to public transportation and employment.

Habitat’s purchase of Sunrise Trailer Park in 2004 was made possible by lead gifts of $400,000 from an anonymous donor and a $200,000 pledge from the Blue Moon Fund, along with support from the Perry Foundation, the Genan Foundation, and other donors.  Habitat worked closely with the Charlottesville Community Design Center to sponsor a world-wide design competition to bring innovative and sustainable design, construction, and materials concepts to the development; Habitat is finalizing the design and will submit a rezoning plan in 2008.  Habitat plans to begin construction in 2009 and anticipates completion in 2012.

The third, and by far the largest, Habitat mixed-income development community is Southwood Mobile Home Park.  It presently consists of 353 trailers located on 100 acres, one mile south of Charlottesville off 5th Street Extended, in the Albemarle County designated growth area. This property is adjacent to the recently rezoned Biscuit Run development.  Habitat will partner with local builders, other non-profit organizations, and Albemarle County to transform Southwood into a higher density mixed-income community with potential for 500 to 900 units with bus service available for the benefit of residents.  Habitat and the Boys and Girls Club of Charlottesville/Albemarle, which currently has a small branch at Southwood, are also partnering with The Hunter Smith Family Foundation to greatly expand the Club’s facility by fall 2008 to accommodate more children and add programs for youth. 

Habitat’s purchase of Southwood in 2007 was made possible by lead gifts from the Charlottesville Area Community Foundation, the Keswick Community Foundation, and individual donors, along with generous long term financing by the seller, Jennie Sue Minor. 

End of release.

For further information, please contact:

Habitat for Humanity of Greater Charlottesville

 Ken Hankins or Overton McGehee at Habitat 434-293-9066, 434-882-1066

The Hunter Smith Family Foundation - Jill Whitley at Smith, Vicars & Co L.L.C. 434-972-7700

khankins@cvillehabitat.org, omcgehee@cvillehabitat.org

www.cvillehabitat.org, www.smithvicars.com