Fifth Third Bancorp in Cincinnati will invest $3 million in Clearinghouse CDFI in Lake Forest, Calif.
Clearinghouse CDFI said in a press release that proceeds from the Class A equity investment will help it make more loans for projects that could include multifamily affordable housing, commercial real estate, small businesses, and community facilities.
The investment “represents a significant commitment and launches a strong community partnership,” Douglas J. Bystry, Clearinghouse CDFI’s founder, president and CEO, said in the release. “We welcome Fifth Third Bank as an investor and value their commitment to improving people’s lives through financial empowerment.”
“CDFIs are essential partners in reaching communities and projects that fall outside traditional financing models,” added Susan Thomas, Fifth Third’s head of community development. “Our investment in Clearinghouse CDFI complements Fifth Third’s broader community development efforts by pairing our capital with their specialized expertise. Together, we can help accelerate inclusive growth and deliver lasting economic benefits in the communities we serve.”