Capital Impact Partners
Capital Impact Partners seeks to break down barriers that communities experiencing historical disinvestment and systemic racism find between themselves and their goals. Since 1985 the organization has deployed over $900 million in charter school lending and provided financing and/or support programs to over 260 schools.
Open process / apply anytime
Standard CDFI due diligence
Capital Impact Partners provides access to capital for projects in underinvested areas and other services, according to four areas of activity:
- Missing-driven investing: This includes everything from acquisition through permanent financing, with a focus on real estate-backed loans of $1 million and up. Capital Impact Partners also provides step-by-step assistance in planning, evaluating, and implementing facilities development projects, including the creation of practical tools for assessments, budgeting, and balance sheets. In addition to offering direct loans, Capital Impact Partners works with financial and social innovators to create lending initiatives targeting specific sectors and geographies to amplify community impact.
- Incubation and scale: This area includes helping incubate small innovative models and take them to scale.
- Capacity building: Capital Impact Partners works in collaboration with a variety of organizations to convene leaders and deliver technical assistance.
Public policy: This work unites policymakers, industry partners, and other key stakeholders to advance sound public policies that increase access to affordable healthcare, high-quality education, affordable housing, healthy foods, and programs for older adults.
Focus Areas:
Geographies: Nationwide; core geographies of California, Michigan, Ohio, New York, Texas, Washington, DC; does not lend to projects in Indian Country
Sectors: Affordable housing, cooperatives, aging, education, healthcare, healthy foods, place-based revitalization
Schools: Expertise in financing small schools, larger education networks, and charter school management organizations; embraces innovative approaches such as schools that host health centers or healthy food retailers
Magnolia Montessori (Austin, TX)
Magnolia Montessori launched in 2014 with 300 children in pre-K through third grade. When the school opened, it operated out of leased portable buildings on its nine-acre plot of land in East Austin. Capital Impact Partners helped the school build a new permanent home through an $8.4 million construction loan and a $5.0 million allocation as part of a New Markets Tax Credit transaction. Today the school can hold up to 500 children from pre-K to sixth grade. Capital Impact also supported Magnolia Montessori’s “diverse by design” approach, which fosters intentional inclusiveness among racial and socioeconomic backgrounds so that all students have equal access to opportunities. The student demographic makeup is 42% White, 41% Hispanic, 12% Black, and 4% Asian. Half of the school’s families qualify for free or reduced-price lunch.
To initiate the lending process applicants should contact the relevant Capital Impact Partners loan or business development officer in their region. Capital Impact Partners will request initial information to screen the application. Capital Impact Partners has a highly selective process whereby schools are evaluated according to six attributes: innovative and rigorous instruction; supportive environment and culture; engaged leaders and staff; career or college pathway; and community hubs. Loan eligibility is determined during due diligence; the entire process can take from 12 to 24 weeks for funding to close.