Durbin, Cleaver Introduce The Spur Housing Act To Increase Housing Supply And Economic Development

WASHINGTON—U.S. Senate Democratic Whip Dick Durbin (D-IL) and U.S. Representative Emanuel Cleaver, II (D-MO-05), Ranking Member of the Financial Services Subcommittee on Housing and Insurance, jointly announced the introduction of theSparking Production of Urban and Rural (SPUR) Housing Act. TheSPUR Housing Actestablishes a fund to increase the capacity of emerging developers – those with limited development experience and limited resources – who are undertaking affordable housing and community development projects. The funds are made available through the U.S. Department of Housing and Urban Development (HUD) in the form of competitive grants for nonprofit housing organizations and community development financial institutions (CDFIs) providing financing, capacity-building training, and technical assistance to eligible emerging developers.
“Despite there being more than 112,000 real estate development companies in the United States, only one percent are owned by Black and Latino developers. This great divide is spurred by unequal access to capital for minority developers, who often are competing against generational wealth. Manyof these developers are subjected to onerous equity and experience requirements that make it nearly impossible for them to secure financial backing for their projects. TheSPUR Housing Actlevels the development playing field and gives Black and Latino developers the resources and experience they need to build and grow their own companies,”said Durbin.
“The road to lowering housing costs for the American people begins with the increase in construction of affordable housing,”said Cleaver.“Emerging developers, including many minority developers who have faced historical barriers to entry, need access to the tools and resources necessary to build affordable housing in their communities. By providing these developers with the support to pursue projects in rural and urban communities alike, we can create good-paying jobs, increase our national housing supply, and drive down prices for hardworking families. I’m proud to introduce theSPUR Housing Actwith Senator Durbin as we fight to lower housing costs for communities in the heartland and all across this great nation.”
TheSPUR Housing Actwould establish an emerging developer fund to:
Emerging developers face a range of barriers to entry and growth including limited access to financing, challenges navigating regulatory and bureaucratic hurdles, and a lack of experience. TheSPUR Housing Actaims to address these concerns by helping newer developers access the important financial and technical resources needed to catalyze revitalization and economic growth. Importantly, this legislation builds upon state and local models proven successful in supporting emerging developers addressing the housing and economic development needs of their communities.
Official text of theSPUR Housing Actis availablehere.
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