LeverAge: An Affordable Financing Program for LeadingAge Members

Conversations with Katie | November 17, 2014

LeadingAge has partnered with the National Cooperative Bank (NCB) to launch LeverAge, a program to address the financing needs of LeadingAge members serving low-income older people. LeverAge can be used to reposition or to expand aging services, housing, and long-term care programs serving at least 40% of the participants at 80% or less of area median income.

LeadingAge has partnered with the National Cooperative Bank (NCB) to launch LeverAge, a program to address the financing needs of LeadingAge members serving low-income older people. 

LeverAge can be used to reposition, expand, or add to aging services, housing, and long-term care programs serving at least 40% of the participants at 80% or less of area median income.

LeverAge offers LeadingAge members affordable, flexible, and longer-term debt to fill long standing lending gaps and new financing needs in the wake of federal and state program cuts. 

LeverAge can assist with most of the financing needs LeadingAge member experience as they work to position themselves for the future.

LeverAge may be used to finance or refinance affordable housing, including independent senior housing, assist living, and nursing homes. LeverAge can also be used to finance the creation or expansion of aging services such as PACE, adult day services, home care, and others. 

New models of housing or services are also eligible and may benefit from a credit support feature that is designed to help innovations access financing at an earlier stage, reducing their reliance on charitable support.

“LeverAge will play an important role in helping not-for-profit aging services providers that have struggled to finance renovations, new construction, or the implementation of new services,” said Larry Minnix, president and CEO of LeadingAge. “This is an example of LeadingAge’s leadership in offering member benefits to meet the needs of America’s aging population. I hope our members will take advantage of this opportunity for repositioning and to bring new options to their communities.”

“NCB is excited to partner with two of the aging sector’s top organizations to introduce a financing program designed to address a critical need -- assisting much-needed aging services and senior housing innovations reach scale as demand spikes and traditional subsidy programs struggle to keep pace,” said Robert Jenkens, senior vice president and director of Social Impact Initiatives at NCB. “With a shortage of 1.8 million affordable senior housing units and large increases in the demand for long-term services projected for 2020, LeverAge’s affordable rates, longer terms, and flexible structure offers a new tool and approach to address this growing crisis.”

Funding for LeverAge is made possible by social investors’ mission deposits in NCB’s AdvantAge deposit program. NCB provides dollar for dollar matching funds for deposits to the program. LeadingAge has made a significant founding deposit in the program. 

LeverAge: Making a Deposit

If your organization is interested in making a deposit to help fund this important program, please contact Robert Jenkens at rjenkens@ncb.coop or 703-302-1950.

Organizations whose deposits are received by the end of 2014 will qualify as founding depositors and will be recognized in LeverAge program materials.