- Investment part of $50 million partnership with Enterprise Community Investment, Inc., to finance affordable housing projects in targeted communities throughout the United States
SAN DIEGO--(BUSINESS WIRE)-- UnitedHealth Group (NYSE:UNH) announced $15 million in financing to help build Connections Housing, an integrated service and residential community in San Diego that will provide permanent supportive housing to homeless people in the region.
The investment is part of UnitedHealth Group’s partnership with Enterprise Community Investment, Inc. (Enterprise), a national leader in the affordable-housing and community-development industry, to provide up to $50 million to finance affordable-housing projects in targeted communities throughout the United States.
The Connections Housing community development project includes acquiring, rehabilitating and converting the historic World Trade Center in Downtown San Diego to create a permanent year-round shelter, housing and an array of services for homeless people. Affirmed Housing Group (AHG) and PATH Ventures are the co-developers and general partners for the project, with Family Health Centers of San Diego and People Assisting the Homeless (PATH) as community partners.
The multi-use project will serve as a one-stop service center and housing for homeless people. The residential portion will consist of 73 studio units of permanent supportive housing, 16 “transitional” housing units and 134 additional transitional housing beds. The project will also provide resources a person needs to break the cycle of homelessness. This includes a primary health care clinic, a multiservice homeless center, a large commercial kitchen, related dining facilities and administrative offices, among other amenities.
“UnitedHealth Group is grateful for the opportunity to work with Enterprise and the many state and local organizations to give hope and new beginnings to San Diegans in need,” said Steven Henry, director for community investment management, UnitedHealth Group. “The UnitedHealth Group Affordable Housing Investment Program is just one example of how the private and public sectors work together to build stronger communities and make a difference in the lives of people most vulnerable.”
The UnitedHealth Group Affordable Housing Investment Program invests in projects that qualify for federal Low Income Housing Tax Credits (Housing Credit) or Historic Rehabilitation Tax Credits. Through Enterprise, the program provides critical equity for the development of affordable rental housing developments to which housing tax credits have been allocated. UnitedHealth Group’s $50 million commitment supports efforts to strengthen local community-based organizations that create affordable housing with a focus on serving low-income families, households with special needs and the growing population of aging adults.
“Enterprise is proud to partner with UnitedHealth Group to provide much-needed Housing Credits for the development of an important resource for homeless people in San Diego,” said Raoul Moore, senior vice president of Syndication at Enterprise Community Investment. “Connections Housing is a national model for reversing homelessness, and Enterprise is pleased to be a part of the development team.”
UnitedHealth Group’s UnitedHealthcare business offers health benefits, including commercial and Medicare health plans, to more than 2.3 million Californians and partners with about 50,000 physicians across the state. OptumHealth provides behavioral health administrative services for Medicaid members in San Diego County and operates the county’s Access and Crisis line.
Enterprise helps communities build and preserve affordable housing and has a history of financing good-quality homes and apartment buildings that are specifically intended to be affordable to low- and modest-income people and families.
The UnitedHealth Group Affordable Housing Investment Program is one of several company initiatives that provide millions of dollars each year to help fund local infrastructure projects to improve the quality of life for residents in communities where UnitedHealth Group conducts business. For example, the California Health Care Investment Program has provided more than $200 million in total capital to 29 health care organizations statewide that serve low-income, underserved and underinsured communities and populations.
About Enterprise Community Investment, Inc.
Enterprise is a leading provider of the development capital and expertise it takes to create decent, affordable homes and rebuild communities. For 30 years, Enterprise has introduced neighborhood solutions through public-private partnerships with financial institutions, governments, community organizations and others that share our vision. Enterprise has raised and invested more than $11 billion in equity, grants and loans to help build or preserve nearly 300,000 affordable rental and for-sale homes to create vital communities. Visit www.EnterpriseCommunity.org and www.EnterpriseCommunity.com to learn more about Enterprise’s efforts to build communities and opportunity.
About UnitedHealth Group
UnitedHealth Group (NYSE: UNH) is a diversified health and well-being company dedicated to helping people live healthier lives and making health care work better. With headquarters in Minnetonka, Minn., UnitedHealth Group offers a broad spectrum of products and services through two distinct platforms: UnitedHealthcare, which provides health care coverage and benefits services; and Optum, which provides information and technology-enabled health services. Through its businesses, UnitedHealth Group serves more than 75 million people worldwide. Visit UnitedHealth Group at www.unitedhealthgroup.com for more information.
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