Annual Report 2022

Page 1

URBAN HOMEWORKS annual report

2022

From the desk of AsaleSol Young

Peace and Blessings Dear Supporters,

As you have come to know, at Urban Homeworks we believe that housing is a human right. We believe that every person created by God is deserving of human dignity. This has always guided our work.

Sometimes I struggle to remember what we’ve accomplished—as we were completing each milestone, we believed each step was simply the work that was needed to ensure greater housing stability, equity, and dignity for our neighbors. But, upon reflection, I realize the transformative nature of what we’ve truly done.

In 2022, we continued to invest in dignified homes by reimagining community safety. Through intentional and strategic co-creation with neighbors to design what community safety looks and feels like, we went beyond just working toward safe neighborhoods, instead investing in and calling for solutions that address the root causes of community violence. Check out page 7 to learn more!

We continued to invest in neighborhood empowerment

and engagement, holding our first community-centered, Black, Brown, and Indigenousdriven Think Tank in 2022. The ideas that were crafted in these sacred spaces became meaningful forces in driving change, as folks volunteering were able to see themselves and each other as a part of the solutions. As neighbors chatted with and worked alongside elected officials, we knew we were embarking upon an ancient but powerful catalyst for change: deep listening and genuine connection. Check out page 6 to learn more!

We continued to invest in affordable homeownership. One of the most beautiful aspects of one of 2022’s development projects was that the home was donated to us by a white family who had owned the home for generations, nearly 100 years! When they were ready to let it go, they wanted to ensure it went towards affordable homeownership opportunities for their neighbors, just as it had for them. They put the betterment of the community above financial gains for themselves. This was an act of neighboring centered in love and a commitment to human dignity that we will always remember them for. Check out page 10 to learn more!

As we look back on 2022 together, it is my hope that everyone can recognize the part we each played in the outcomes of our communities. We are all responsible, in some way, for what is happening in society today. The arc of justice is long, and the seeds we collectively plant today will manifest for our children. At Urban Homeworks, we choose to continue to plant seeds of love.

I am grateful to have you walking collaboratively with the community toward greater housing equity for all. May the next generations be free to take on a different fight, may they eat from trees we planted with love, and may you and the work we do together continue to be blessed.

In community,

2 Urban Homeworks
3 Building Equity. Centering Community. Reclaiming Home. 2022

OUR PROGRAMS

Equity & Engagement: UHW builds and strengthens the relationships in our resident communities as we seek to make meaningful change in our neighborhoods. While strengthening connections between neighbors, businesses, and contractors we encourage sustainable, people-based solutions— what we call People Oriented Development (POD). Monthly POD meetings with residents both bring resources to our community and deepen the bonds that make neighborhoods fertile grounds for collective organizing and action.

Policy Action: UHW seeks to bridge the gap between underrepresented communities and complicated legislative systems. Our goal is to both educate our community on specific policies that impact them as well as empower our community to share their stories and advocate alongside us. We understand that transformational change can only be achieved when all voices are able to be heard, and recognize that for equitable housing to become the norm, changes must be made to systems and policies at all levels of government.

Dignified Rentals: UHW owns 136 rental units that are home to nearly 500 individuals in North and South Minneapolis and Frogtown, St. Paul. Our expertise is in managing single family, duplex, and small-scale buildings serving residents from a broad range of income levels, predominantly those at or below 50-60% of the area median income (AMI). Our ultimate aim is dignified housing—housing that is affordable, high-quality, and includes a supportive network of resources from local community partners and a responsive landlord.

Affordable Homeownership: UHW is working to close the racial homeownership gap in the Twin Cities by building, restoring, and selling high-quality, energy-efficient homes. Our homes are sold to low- and middle-income, firsttime buyers who are often the first generation in their family to purchase a home. Our overall goal is to facilitate community ownership to BIPOC members who will call our neighborhoods home for years to come.

ANTIRACISM

v a luesGROWTH MINDSET being relentless in teaching and learning

accepting that systems have been built on racism and discrimination, and we are actively dismantling them collectively as neighbors

eu sGUTS, RESILIENT, INITIATIVE , TENACITY ( G R I )T

our values - BELIEVE one demonstrates alignment with the Urban Homeworks’ mission, vision, and values

persevering through difficulties & challenges, reflecting the relentlessness of the community and justice workers who came before us

to see the need and take action

our values -

one has awareness of how one’s disposition impacts other people

Our Core Values

4 Urban Homeworks
The mission of Urban Homeworks (UHW) is to perpetuate the hope of Jesus Christ through innovative community development.
Our vision is Neighbors raising their collective voices to address injustice and overcome the barriers that perpetuate inequity.
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SHOW U P P EVITISO
ruo seulavS T E P UP

Meet the Urban Homeworks Team

OUr Board

We enter this year with a deep appreciation and anticipation of the work we’ve done in 2022, and what it means for 2023. In our commitment to building a body of board leadership that is more representative of our community, we are welcoming four new board members in 2023—Tiffany Dykes, Sadaqah Jones, Lindsey Hunter, and Ravie Singh—all of whom already hold strong connections to Urban Homeworks. We’re so glad they will be joining us! Their ongoing support for this work has been invaluable to our growth over the past few years.

We are proud to share that Urban Homeworks ended 2022 with increased reserves over 2021, lower levels of debt, and more gifts and grants. Amidst levels of inflation we have not seen in the economy for 40 years, Urban Homeworks continues to see solid financial results. This financial stability allowed us to review our rental properties and prepare to undertake repairs and renovations that will allow us to ensure our homes remain dignified.

We look forward to all that 2023 will bring us—thank you for being a part of this work, this mission, and this community!

5 Building Equity.
Centering Community. Reclaiming Home.
Kassidy Rouse Development Intern AsaleSol Young Executive Director Anne Ketz Real Estate Director Paul Vliem Development Director Emily Lassiter Senior Development Officer Randy Hanson Finance Director Temi Ogunrinde Equity & Engagement Director Katie Herrick Communications Manager Lydia Detweiler Executive Assistant Ashley Satorius Volunteer Manager Yuri Harper Resident Organizer Azad Lassiter RED Project Manager Bridger Foster Equity & Engagement Intern Ellen DeYoung Institutional Relations Manager Claudia Oxley 2022 Board Co-Chair Danyika Leonard 2022 Board Co-Chair Becky Landon Collin Barr Jim Bear Jacobs Lee Schafer Terry Becker Toni McClarron NAZ Family Achievement Coach

What do you find most powerful about the work Urban Homeworks is doing?

“I continue to work with UHW because of a particular dedication they hold towards the participants in their program. Simply put; there’s a sincerity within those ranks that’s not always easy to find and is worth valuing and contributing towards. Plus they don’t mind experimenting; which is among the rarest of qualities to find even in individuals, so that just sets this group apart from so many other good orgs. The power that is available by standing up for others but also allowing space for their voices to be raised and heard is incredible. The community commitment seems surreal at times, like wow; initiatives like this exist huh?”

How was Urban Homeworks impacted your life?

“The impact made on me that stands out the most is the kind boldness I’ve been encouraged by UHW to work with. I’ve learned that every field of work has its challenges but this team keeps up the work with a sense of integrity that’s pretty hard to miss and is inspiring.”

If you had to describe Urban Homeworks to a friend in one word, what would it be?

“Destined.”

What is your biggest dream for your community?

“I would like to see the community get a foothold; if that makes sense. There’s a lot of hit-and-miss opportunities that come through the neighborhoods in different ways and if I could put it in terms of a wish; my wish would be to see community members strengthen bonds.”

“North Minneapolis to me is ripe and ready for significant growth. There’s a potential in the Minneapolis community that I’m starting to see as dormant with the possibility to make tangible advancements nationwide if not globally. I’ll call it the best-est of meshes, ha.”

Sign up to volunteer with UHW at: www.urbanhomeworks.org/volunteer

Julius RennIe

is Urban Homeworks

6

Adequate and equitable resource distribution is proven as one of the best forms of violence prevention —crime goes down in neighborhoods where vacant lots are transformed, community organizations are funded and supported, and resources are made available 1 . Seeing the need for greater safety in our community during the heat of the pandemic and the 2020 Minneapolis Uprising, Urban Homeworks decided to partner with Brothers EMpowered—a community-based peacekeeping organization started by one of our very own residents, Charles Caine—to provide free meals and peacekeeping in and around the corner of Broadway and Emerson.

Noting the positive impact on the Northside community in 2020, Urban Homeworks decided to take the work to the Southside, partnering with Centro de Tyrone Guzman, Chase Bank, Norway House, Project for Pride in Living, and Ventura Village Neighborhood Association to create the Southside Peacekeeping Coalition (SPC). Coalition members recognized the frustrations of the thousands of residents, commuters, and businesses that are impacted by disinvestment in our neighborhoods and put together the funds to pay Brothers EMpowered to begin addressing community safety in and around the corner of Franklin and Chicago Avenues.

Promoting peace in our streets, Brothers EMpowered did incredible work to connect with residents and build trust as both a community resource and positive presence. Their system understands how conflict happens—when employed in an area, they canvas the community, talking with residents, local businesses, and institutions to understand the flow and conflicts happening in that community. As a result, they are able to bring together key stakeholders in neighborhoods to deescalate situations and promote peace.

Hearing positive feedback from area residents and staff and noticing the significant impact on the community throughout 2021, SPC decided to continue this peacekeeping work into 2022, hiring Brothers EMpowered to patrol during the most active months of the year, March through November, weather-informed. In addition to their peacekeeping work, Brothers EMpowered worked in partnership with SPC to put on community events for neighbors to engage with each other in fun activities, access free resources and services, and enjoy outdoor areas that typically feel unsafe to visit.

As a community-driven coalition, the work and the way SPC does it is ever-evolving and changing to best match the communities’ requests, needs, and responses. We are excited to continue this work in 2023, ensuring that individuals, families, and children feel safe and secure in the neighborhoods where they have chosen to live, while also beginning to help other local organizations understand how they can replicate this work in their own neighborhoods to help reimagine what community safety in the Twin Cities looks like •

1 Centers for Disease Control and Prevention. (2022, June 8). Violence Prevention: Prevention Strategies.

1 Housing Justice Forum in suport of Bring It Home, MN

1,139 hours of volunteer time

157 volunteers

11 resident POD meetings

8 resident testimonies given

Centering Community. Reclaiming Home.

42 volunteer worksites

66 volunteer workdays

7 community education events

7 Building
Reimagining community safety
Equity.
Equity & Engagement ‘22 By the Numbers

Early spring 2021, Urban Homeworks (UHW) broke ground on two new constructions in North Minneapolis located right next to each other: 2131 Bryant and 2129 Bryant. Just a little over a year later, construction on the homes finished and we put them on the market. Despite nearly identical timelines, development, designs, marketing, and identical pricing, one house sold within a few months, the other remaining on the market until early 2023. Why?

Even though the homes started on the same path of affordability, the Federal Reserve’s increases on interest rates in 2022 played an outsized role in their diverging paths. The average mortgage interest rate in March 2022, when the homes were listed, was 4.4%. By December 2022, the rate had increased to 7.3%. One home selling before the increase meant that their monthly payment would likely be ~$400 lower than their next-door neighbor.

In our efforts to sell to first-time buyers, UHW lists our homes for less than it costs to build them AND limits purchasing to income-qualified buyers—buyers at or below 80% of the area median income (AMI). Given the significant increases in materials and labor over the years, however, these discounted prices can still be too high for potential homebuyers in the area. In 2022, the qualifying income for a family of four in the Twin Cities was $89,000. The median household income in North Minneapolis was $44,096. As interest rates increased, buyers who had low enough incomes to qualify became less able to afford mortgages.

Building more affordable housing alone is not enough to close the racial wealth gap in our state. Services like downpayment assistance, homebuyer education, special purpose credit programs, and diverse ownership options in tandem with both affordable rehabilitations and new constructions are essential for ensuring we combat the homeownership disparities between Black and white Minnesotans.

As Urban Homeworks looks ahead to 2023, we know that to be successful in our mission and vision, it is imperative we grow to support and provide the additional services our neighbors need to own a home. It is by expanding the scope of our work—testifying for policies like Minnesota House File 685, reimaging private capital pools through new iterations of UHW Loan Pools, and providing homeownership resources like our partnership with Build Wealth—that the core purpose of our organization, dignified and affordable housing, will be most successful. •

A Tale of Two Homes

89% BIPOC head of household

79% families with children

360 people housed across 136 units

3 total homes sold; 1 rehabilitation and 2 new constructions

50% of contracts to BIPOC-owned businesses

53% of households stable for 2+ years

50% of contracts to women-owned businesses

8 Urban Homeworks
Real Estate Development ‘22 By the Numbers
% unhoused at move-in
30

DeAndre Cameron

is Urban Homeworks

What do you find most powerful about the work Urban Homeworks is doing?

“Urban Homeworks is really about love. Love for people and community.”

How has Urban Homeworks impacted your life?

“When I was a kid I used to look through magazines and look at furniture and houses. I always wanted to know how I would be living and what kind of home I would be in. Everything I looked at wasn’t even as good as this. My kids love it. This is where they want to be. I’m just very thankful and I’m happy. And they’re happy.”

If you had to describe Urban Homeworks to a friend in one word, what would it be?

“Helpful.”

What is your biggest dream for your community?

“Equity is being built in this community. I’m just thankful really. I recently opened up an LLC, I’m saving up some money. I would like to be in the real estate industry. Eventually I want to get another property to manage and this is just a start. This is just the beginning.”

Read more of DeAndre’s story at: www.urbanhomeworks.org/spring23-message

9 Building Equity. Centering Community. Reclaiming Home. 9

In 2019, the seed for Urban Homeworks’ (UHW) new office was planted. Juxtaposition Arts (JXTA) reached out to inquire about purchasing both of our offices on Emerson and the lot between. In that inquiry was an incredible opportunity to support a partner organization and restructure our own space to better serve our changing staff structure.

At the beginning of 2021, UHW sold our former offices to JXTA and made finding a new home a priority. Seventy-five percent of all UHW residents live within one mile of W Broadway Avenue, so finding a space accessible for current residents and future applicants in the heart of North Minneapolis was a top priority.

At a community event in April of 2021, AsaleSol Young, UHW’s Executive Director, bumped into Calvin Littlejohn, co-owner and CEO of Tri-Construction. Calvin shared his vision for the building at 927 W Broadway—a community hub of Black-owned businesses and Black-led organizations. Sharing UHW’s commitment to rebuild, invest in, and uplift the community in North, Tri-Construction and the Phillips Family Foundation purchased 927 W Broadway from the City of Minneapolis in 2018. Built in 1901, 927 W Broadway had sat vacant and neglected for decades before it was sold. With construction breaking ground in late 2020, nearly $7 million was invested into renovating and building an addition.

In that meeting, it became clear that UHW had found a values-aligned partner. We signed our lease in October 2021 and construction began on Suite 301 in May 2022.

Officially moving into our new home in October 2022, our office is designed to be a space for collaboration. The layout fosters multiple ways of working and thinking, including hybrid workspaces and plenty of room for gathering.

The renovation and construction at 927 W Broadway are just the start of more than $100 million in projects that will break ground or open along the Avenue in 2023 These investments are largely the result of various racial equity pledges made by organizations, corporations, and foundations in 2020 following the murder of George Perry Floyd Jr.

Though the path was difficult, remaining true to our values made it worth every setback. We’re proud to have planted ourselves in the heart of North Minneapolis as an ever-present commitment to the powerful community we serve. •

New office, same heart

10 Urban Homeworks

REvenue

Contributions - $1,827,911

Rental Revenue - $1,455,430

Equipment/Property Sales - $385,907

Home Sales - $275,000

Government Grants - $125,833

Program Revenue - $118,756

Interest Income - $20,460

Total Revenue:

4,209,297 $

These financials are unaudited. To view Urban Homeworks’ full financials and 990s, please visit: www.urbanhomeworks.org/annual-reports

Rental Programs - $2,725,129

Real Estate Development - $616,740 Management - $531,166

Fundraising - $356,003

Comm. Engagement - $320,817

Total Expenses:

4,549,855$

11 Building Equity. Centering Community. Reclaiming Home.
Rental Revenue 34.6% Contributions 43.4% Equip/Prop Sales 9.2% Interest Income 0.5% Program Revenue 2.8% Govt Grants 3.0% Home Sales 6.5% RED 13.6% Rental Programs 59.9% Management 11.7% Fundraising 7.8% Comm. Engage. 7%

What do you find most powerful about the work Urban Homeworks is doing?

“The work that UHW is currently doing is so important and so needed; getting all the voices of the residents heard by policymakers. Who knows better than UHW what needs to be done? It empowers the people served by Urban Homeworks to be there and have their voices heard.”

“UHW continues to provide dignified housing, but more importantly, it is a community development organization. I think it is the best at doing this than any other organization in the Twin Cities. Asalesol and the Equity and Engagement Director Temi have worked tirelessly on providing opportunities to learn about the challenges of social injustice and inequities that people face not only in housing but education and employment.”

How was Urban Homeworks impacted your life?

“UHW has impacted my life from all I’ve been able to learn. I am a white male (now considered elderly) who has been privileged to have been brought up in a loving family, receive a fantastic education, and had many opportunities along the way. I have come to realize this has happened simply because I am a white male. I have always felt that everyone should have the same opportunities I have been provided but aren’t because of systemic racism and white privilege. I continue to learn. I now know that these inequities cannot be solved by people like me, but must be confronted by people like me, who realize that it is best and only solved by the people in the communities that are most impacted.”

“When I became Board Chair, it was apparent that only one of the board members was a person of color. I asked four board members to step down, allowing board membership to better reflect the neighborhoods we were serving. All four members graciously resigned their positions, acknowledging what we were trying to accomplish. Since that time, the board, as well as staff, are now a majority BIPOC.”

What is your biggest dream for your community?

“My hope is that someday all people will be given the opportunity I have been blessed with. The inequities and social injustice in our society will not be changed by the work of nonprofits and philanthropy alone. They will only be changed by intelligent and committed government policy. I urge you to make your voice heard. The power of ONE. EveryONE can make a difference.”

Find all the ways you can support UHW: www.urbanhomeworks.org/ways-to-give

12 Urban Homeworks

full of gratitude for you!

It is through the generous and humble hearts of our community that Urban Homeworks can continue to push forward and expand the notion of dignity—a dignity that believes every human deserves a safe, stable place to call home. We are deeply grateful for the shared values of love, hope, and connection that continue to bring us together to make the world a better place today and for generations to come.

Thanks to your support, 2022 was an incredible year of growth and stability for Urban Homeworks! We moved into our new office at 927 W Broadway Ave in the heart of North Minneapolis. We moved 13 homeownership opportunities through various stages in development, selling three homes at affordable rates to first-time homebuyers. We expanded our points of connection with our residents and began developing new ways to bridge the gap between “stable renter” and “empowered homeowner”. We became more intentional about how we amplify the voices of our community for positive policy change.

As we celebrate the accomplishments of Urban Homeworks in 2022, we want to express our gratitude to the incredible community who believes in the power of home—YOU—are integral to our work! Whether you joined us yesterday or have been supporting our work for the last 27 years, it takes all of us working together to advance equitable housing in our state.

We hope you join us again in 2023 as we continue the important work of raising our collective voices to address injustice and overcome the barriers that perpetuate inequity. •

To view UHW’s full list of 2022 donors & supporters please visit: www.urbanhomeworks.org/annual-reports

13 Building Equity. Centering Community. Reclaiming Home.
927 W Broadway Ave, Suite 301 | Minneapolis, MN 54411 communications@urbanhomeworks.org | 612-724-9002 www.urbanhomeworks.org
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