Series of Workshops Provide Instruction and Expert Insight into Industry Best Practices to Help M/WBEs Compete More Effectively For City-Sponsored Affordable Housing Development Work
New York, NY – April 16, 2015 – (RealEstateRama) — The New York City Department of Housing Preservation and Development (HPD) Commissioner Vicki Been, and New York City Department of Small Business Services (SBS) Deputy Commissioner Kerri Jew were joined by the New York State Association for Affordable Housing (NYSAFAH), the Goldman Sachs Urban Investment Group, Holland & Knight, and the Minority Business Development Institute (MBDI) to celebrate the completion of the inaugural series of capacity building workshops designed specifically for Minority and Women Owned Business Enterprises (M/WBEs). The workshops are part of Building Opportunity, HPD’s multi-pronged M/WBE initiative. They provide valuable insight and instruction into industry best practices to aid M/WBE’s seeking to compete more effectively for HPD-supported affordable housing development work. The free courses provided by HPD and SBS met twice a month from October 2014 to March 2015. There were 28 firms recognized as workshop graduates in a ceremony held last night to celebrate the program’s participants.
“We congratulate the participants graduating today from this inaugural workshop series created to build critical capacity among M/WBE firms, improve their competitiveness, and level the playing field,” said HPD Commissioner Vicki Been. “The Building Opportunity workshops were designed to impart concrete skills on all aspects of development from finance and deal structuring to project creation and building management, while also connecting M/WBE developers to a strong network of city and industry leaders. We are grateful to all our partners for their shared commitment to strengthening M/WBEs, promoting community development and local job growth, and diversifying the affordable housing industry. HPD looks forward to working with the program’s graduates and other M/WBEs to achieve the Administration’s affordable housing goals and build a more diverse and equitable city.”
“By addressing the key issues that have been barriers to success for M/WBEs, programs like Building Opportunity not only level the playing field for these diverse businesses but also provide M/WBEs with more opportunities to create affordable housing, jobs, and economic investment in the communities they work in,” said Maria Torres-Springer, Commissioner of the NYC Department of Small Business Services. “I applaud all of the graduates of the program and encourage M/WBEs across industries and the city to find out more about free NYC Business Solutions services available to further strengthen their business.”
“Congratulations to the first graduating class of this new professional development workshop,” saidGary Rodney, President of HDC. “This workshop is an important milestone that will enable greater M/WBE participation in the development of affordable housing .Expanding opportunities for these organizations not only strengthens and diversifies the housing industry, but the neighborhoods that we serve. I applaud the continuous efforts of HPD, SBS, MBDI, NYSAFAH and Goldman Sachs Urban Investment Group in promoting the growth of Minority and Women-owned Business Enterprises.”
The City’s investment in affordable housing must be tied to greater M/WBE participation in housing development, and the effort to expand opportunities for M/WBEs reflects the values and priorities in Mayor Bill de Blasio’s Housing New York: A Five-Borough Ten-Year Plan to build and preserve 200,000 affordable units for New Yorkers at the very lowest incomes to those in the middle class.
Strengthening M/WBE participation supports community growth and economic opportunity as many of these small firms work and hire locally. It also expands the pool of developers that have the experience and capacity to build and manage affordable housing in New York City, which increases competition and strengthens the housing industry. This new pipeline of developers will be critical as the City ramps up affordable housing production under the Housing New York plan over the coming years.
“Expanding M/WBE opportunities is vital to achieving our goal of building more affordable housing in New York State,” said Jolie Milstein, President and CEO, NYSAFAH. “By empowering M/WBE companies and firms to compete for public and private housing contracts, programs like these workshops help ensure that more affordable housing contracts flow into the communities where affordable housing is being built. HPD Commissioner Vicki Been and SBS Commissioner Maria Torres-Springer have shown real leadership on this issue and we are grateful to our fellow co-sponsors Goldman Sachs, Holland & Knight and MBDI for their support.”
“MBDI was delighted to assemble the first Building Opportunities workshop series for a set of exceptionally smart, savvy and highly educated MWBE developers,” said Liz Duncan-Gilmour, Esq., Executive Director of MBDI. “MBDI is all about building communities. We were pleased to bring stakeholders together to help these businesses more fully participate on HPD projects. Panelists from top NYC law firms, banks, developers and consultants shared their knowledge and created a vibrant classroom experience.”
“The program was excellent on numerous levels. We had an opportunity in network with colleagues, agency and institution leaders. We received an abundance of information that will help in all aspects of putting a deal together,” said program participant Robert Horsford, President of Apex Building Company.
“The Building Opportunity Series provided our firm with specific details on how to expand our business and envision our future,” said program participants Danielle Noak and Sandra Erikson, Sandra Erikson Real Estate, Inc. “It helped us harness our experience in community development to date and provided us with vital information with which to grow our company.”
“The series of courses and commitment and expertise of presenters and panelist confirmed the City’s commitment for a diverse development community in New York City.” said program participant Kenneth Morrison, Lemor Realty. “I look forward to working with like-minded M/WBE’s as we continue to help the Mayor and City achieve new affordable housing throughout the City.”
The Building Opportunity courses garnered overwhelming interest and a new session will begin in the fall of 2015. HPD partnered with SBS and MBDI to develop and administer the coursework. The workshops are led by a panel of subject matter experts and teach participants effective business planning, financial management and strategies for competing more effectively for HPD-supported affordable housing development work. The Goldman Sachs Urban Investment Group and Holland & Knight hosted workshops as well as provided staff with expertise in the course topics to participate in the workshops. NYSAFAH provided outreach and sponsored networking events where both course participants and NYSAFAH members were in attendance.
Learn more about the program’s inaugural graduating class here: M/WBE Academy Graduates
Launched by HPD in 2013,Building Opportunity is a four-pronged initiative to expand opportunities for M/WBEs to compete more effectively for HPD-supported affordable housing development work. Many M/WBE developers have limited access to affordable credit or land, constraining their ability to compete with larger firms for HPD subsidy in building affordable housing. The four prongs ofBuilding Opportunity include:
- Build the Capacity of M/WBE Developers
- Increase Access to Capital
- Encourage Developers to Use M/WBE Contractors
- Increase Development Opportunities
State Senate Housing Chairwoman Cathy Young and State Assembly Housing Chairman Keith Wright introduced legislation that was enacted and signed into law, allowing HPD to designate a pipeline of development projects to be competitively solicited to a pre-qualified list of M/WBEs (or joint ventures that include M/WBEs) to promote the participation of M/WBEs in HPD’s loan and disposition programs. The RFQ was issued in the fall, and applications – many from workshop participants—are being reviewed now.
For more information on the program visit the ‘M/WBE Initiative’ page HPD’s website under the ‘Developer’ section. Use the following link: Building Opportunity
In addition to integrating the M/WBE Program into major initiatives like the City’s housing policy and Hurricane Sandy resiliency and recovery, the de Blasio administration has appointed a new and diverse leadership team committed to M/WBEs. In Fiscal Year 2014, SBS certified 923 firms, bringing the total to almost 3,800 firms winning $690 million in City prime and subcontracts, a 57% increase over Fiscal Year 2013. The City is also conducting a new disparity study to get an accurate read on M/WBE businesses in New York City in order to strengthen the M/WBE program and help ensure that procurement reflects the City’s diversity.
SBS offers a variety of free support services to help M/WBEs certify, compete, and win City contracts. To assist firms with the certification process, SBS offers a range of support services including workshops on selling to government and one-on-one assistance from experienced client managers. The City recently launched the NYC Online Certification Portal, an online tool enabling Minority and Women-owned Business Enterprises (M/WBEs) to certify and re-certify online, check the status of applications, and update their business profiles to better promote themselves to buyers.
Certified M/WBEs can also take advantage of free Compete to Win services offered by SBS, including programs to assist with bond readiness, contract financing, teaming, and mentorship. M/WBEs are also eligible to participate in the City’s Corporate Alliance Program, which trains and connects City-certified firms with private sector contract opportunities, as well as Strategic Steps for Growth, a nine-month business management course for M/WBEs offered by the City in partnership with New York University.
The NYC Online Certification Portal can be accessed at nyc.gov/certifyonline. Firms interested in certifying as an M/WBE or participating in M/WBE programming, can learn more by calling 311, visiting nyc.gov/getcertified, or meeting with a client manager at one of the City’s seven NYC Business Solutions Centers located in all five boroughs.
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New York City Department of Housing Preservation and Development (HPD)
HPD is the nation’s largest municipal housing preservation and development agency. Its mission is to promote quality housing and viable neighborhoods for New Yorkers through education, outreach, loan and development programs, and enforcement of housing quality standards. HPD is tasked with fulfilling Mayor de Blasio’s Housing New York: A Five-Borough Ten-Year Plan to build and preserve 200,000 affordable units for New Yorkers at the very lowest incomes to those in the middle class. For more information visit www.nyc.gov/hpd and for regular updates on HPD news and services, connect with us via www.facebook.com/nychpd and www.twitter.com/nychousing.
New York City Small Business Services (SBS)
The Department of Small Business Services (SBS) makes it easier for businesses in New York City to start, operate and expand by providing direct assistance to business owners, fostering neighborhood development in commercial districts, and linking employers to a skilled and qualified workforce. For more information on all of SBS’ services, go to www.nyc.gov/sbs.
About NYSAFAH
The New York State Association for Affordable Housing (NYSAFAH) is the trade association for New York’s affordable housing industry statewide. NYSAFAH works with government agencies and both non-profit and for-profit organizations to build affordable, safe and diverse communities across the state. It strives to increase funding for housing programs, monitor legislation that may negatively impact the industry, create a voice for professionals in the field, and inform its members of new opportunities and developments. NYSAFAH members include developers, non-profits, attorneys, architects, lenders, equity investors and other housing professionals. It actively lobbies both New York City and New York State elected officials on the necessary expansion of affordable housing programs. Please visit www.nysafah.org for more information about NYSAFAH and its goals for the coming legislative session.
About the Minority Business Development Institute (MBDI)
Through education and advocacy, the Minority Business Development Institute’s mission is to assist the emerging contractor and developer population to develop socio-economic parity by addressing business issues that create barriers to success. MBDI pledges to help build the managerial, operational and financial functions of minority, veteran and women-owned firms to prepare them to get bonded and to permanently increase their opportunities, productivity and future profitability.
About Holland & Knight
Holland & Knight is a global law firm with more than 1,000 lawyers in 20 U.S. offices as well as Bogotá and Mexico City. The firm is among the nation’s largest law firms, providing representation in litigation, business, real estate and governmental law. Interdisciplinary practice groups and industry-based teams provide clients with access to attorneys throughout the firm, regardless of location.
About the Goldman Sachs Urban Investment Group
Established in 2001, the Goldman Sachs Urban Investment Group (UIG) deploys capital to help transform distressed communities into sustainable and vibrant neighborhoods of choice and opportunity. UIG seeks double-bottom-line returns by providing flexible financing for community projects that respond to the needs of low- and moderate-income communities and support public sector priorities. Through its comprehensive platform, UIG has committed more than $3 billion of Goldman Sachs capital, catalyzing development across dozens of residential, mixed-use and commercial projects, and financing job creation and neighborhood revitalization strategies as well as social services, through the nation’s first social impact bonds. In 2013, UIG launched the Goldman Sachs Social Impact Fund, a first of its kind direct impact-investing vehicle, and manages the strategy on behalf of Goldman Sachs clients
Contact:
Juliet Morris (HPD) 212-863-5682
Merideth Weber (SBS) 212-513-6318
