Arctaris Impact and Circuit Ave Join Forces to Transform Blighted Properties into Affordable Homes, Addressing Urgent Housing Crisis
01 Octubre 2024 - 4:40PM
Business Wire
$11 Million Investment to Revitalize
Neighborhoods and Empower Families
Arctaris Impact Investors, LLC, a national impact investment
firm with a 15-year track record in underserved communities, and
Circuit Ave, a minority-owned real estate investment firm, are
joining forces to tackle the nation’s critical shortage of
affordable housing.
This transformative initiative will breathe new life into
hundreds of vacant single-family homes in underserved communities,
converting them into safe, quality rental housing for families
earning less than 50% of the Area Median Income (AMI). As a first
step, Arctaris invested $11 million to revitalize hundreds of
vacant single-family properties in Detroit with plans to replicate
this strategy in other underserved communities throughout the
U.S.
“We aim to amplify Circuit Ave’s successful efforts and
significantly increase the supply of high-quality, affordable
housing options for underserved families,” said Andrew Gibbs, a
Principal of Real Estate at Arctaris. “The partnership is a win for
all stakeholders, including families needing affordable homes,
existing homeowners living in high vacancy neighborhoods, and local
governments looking to stretch returns on subsidized housing
investments.”
Beyond providing rental housing, the partnership will also offer
residents a pathway to homeownership, contributing to long-term
community revitalization and wealth-building opportunities for
families. The program, currently focused on Detroit, is poised to
expand to other high-vacancy cities nationwide, showcasing a
scalable model for tackling the affordable housing crisis.
“Delivering affordable housing to low-income families is a
complex challenge, especially in today’s market, but we believe
these innovative solutions can make a real difference," said
Jonathan Tower, Founder and Managing Partner of Arctaris. “Our
partnership with Circuit Ave is a testament to that belief. By
transforming vacant properties into quality homes, we're not just
providing shelter -- we're empowering families to build stable
lives and pursue economic opportunities.”
“We founded Circuit Ave to address a disturbing contradiction
across cities nationally -- neighborhoods share both a severe
affordable housing shortage and a vacant home on nearly every
block,” said Circuit Ave CEO, Ian Batts. “Partners like Arctaris
make it possible to create inclusive housing options while
restoring neighborhoods and contributing to local economic
resurgence.”
This joint venture highlights Arctaris Impact's
interdisciplinary approach to impact investing, combining financial
returns with positive social and environmental outcomes. It also
furthers the reach of The Kresge Foundation, an anchor partner of
Arctaris and champion of equitable community development.
For more information on Arctaris and its initiatives, please
visit www.Arctaris.com.
About Arctaris Impact Investors, LLC
Arctaris Impact Investors, LLC is a national impact investment
firm with experience spanning more than 14 years. The firm manages
funds which invest in growth-oriented operating businesses, real
estate, and community infrastructure projects located in
underserved communities. Founded in 2009, Arctaris has partnered
with the Kresge Foundation, Harvard Business School Professor
Michael Porter’s Initiative for a Competitive Inner City, and
multiple other foundation, federal and state government agencies to
invest in Opportunity Zones, inner cities and targeted rural
communities throughout the U.S., with the aim of delivering
above-market investment returns alongside positive social impact.
For more information visit https://arctaris.com or for press
inquiries contact Lillian@arctaris.com.
About Circuit Ave
Circuit Ave is a Detroit-based real estate investment firm
dedicated to revitalizing neighborhoods by transforming vacant
properties into quality, affordable housing. Implementing its "buy,
fix, rent" model, Circuit Ave addresses a staggering housing
shortage with a novel solution that provides stable, long-term
housing for families in need, creates high-quality jobs and
contributes to economic growth.
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press release constitutes forward-looking statements. These
statements reflect prevailing conditions and our best business
judgment as of the date of issuance. As a result, actual results
may vary from the projections and should not be relied upon as
investment advice.
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Lillian@arctaris.com