CAF Venturesome, the social investment team at Charities Aid Foundation (CAF), and Power to Change, the the independent trust that supports community businesses to create better places across England, are launching a pioneering offer for Community Land Trusts (CLTs), with the purpose of funding community land trust schemes at the pre-planning stage. This new partnership will see an additional £240K invested into the community land trust sector this year. The first tranche of grant funding is available until June 2019.
The blended finance will offer grants of up to 50% of the total social investment from CAF Venturesome’s CLT Fund for pre-development loans.
As highlighted in CAF’s recent publication ‘Helping Communities Build’, there is a clear need for grant funding at the pre-planning stage of a community housing project. The risks that surround pre-planning make it challenging for both funders and schemes to bridge this need through repayable finance alone, leading to a need for grant funding to subsidise the risk and costs of pre-planning.
We hope that by offering this grant funding, alongside the loan, CLTs will be able to afford to commission much needed professional support and/or recruit paid staff to speed up the process of securing planning permission.
We are offering this programme to Community Land Trusts schemes all across England, but outside London. CLTs will need to evidence that the community will own, manage or steward the scheme and future homes. Priority will be given to projects that support communities facing the most challenging circumstances.
To find out more about the programme and to apply for blended finance for your pre-development loan contact Anne-Helene Sinha at CAF Venturesome, on 03000 123 000 or email at venturesome@cafonline.org
Notes:
- Grants are made alongside new loans from the Community Land Trust Fund II managed by CAF Venturesome.
- The grant will make up between 20% and 50% of the total initial ask for a pre-development loan.
- A minimum interest fee on the loan portion will be agreed with the CLT.
- Applying to the Power to Change Homes in Community Hands fund doesn’t preclude you from applying to this blended finance offer.