Non-profit that rents apartments to less fortunate

Has anyone formed a successful non-profit that rents apartments to less fortunate? My attorney & I want to form one to rent apartments to single low-income moms. Any suggestions? Pitfalls? Thanks!

Angella,

Phenomenal idea! A true passion for me! I haven’t created such an organization, but have worked with many. Specifically, I’m currently working with the Sulzbacher Center and River Regions in Jacksonville, who concentrate on homeless and rehabilitated individuals, they pay their rents for a year, and once the person graduates from the program they are fully responsible for the rent or they have the choice to look for their own accommodation elsewhere. A perfect stepping stone for the needy, all you need is a good foundation and vision, and of course good financial backing from either government of private investors. A great tax write-off for large business, and phenomenal opportunity to give back!

Angella,

GREAT cause. I work on the board of Aeon, a local non-profit affordable housing provider in Minnesota that is doing a phenomenal job at identifying areas of need and addressing those areas of needs through housing ans supportive services to help high risk individuals become independent. For instance:

A.) homeless teens - usually single, low-income moms. They provide the housing and services that support this high risk group to become successful adults.
B.) Sober housing - housing & services to support individuals on their way from recovery from substance abuse

the list goes on and on.

A couple of recommendations:
1.) You'll need to decide where you fit in. Are you providing the housing? The services? connecting high risk individuals to the housing & the services? All of these or another angle of this?
2.) Check out how other non-profits have been successful or unsuccessful - learn from that. (I highly recommend Aeon)
3.) Perhaps work on the board of an existing non-profit to learn about how they operate, what are the pitfalls, challenges, > find a way where yours can dovetail with theirs. OR, volunteer at some level, but I would highly recommend being on the board level.
4.) Pay attention to the failures and find out WHY. In my area, with the economic conditions the way they are, one of the HUGE organizations cut out a whole division of their company that was helping high-risk individuals. Here is an article: startribune.com/local/stpaul/64328772.html

If you have more specific questions, it would be easier to answer. Post on this board or contact me!

-Daisy Nguyen

I should also leave a link to the Aeon website if you want to check them out:

aeonmn.org

Hey Angella,

Had you considered asking apartment owners for a donated unit? If you have a nonprofit, it could still be a write off for the owners and your nonprof wouldn't need nearly the amount of cash. It wouldn't cost your organization anything and you could still rent it at a very reduced rate, but maybe put the money into a savings account for further financial assistance to that individual in need (which is probably what you were already thinking). I think asking for a donated unit is very reasonable considering there's almost always available units in any apartment complex.

peace
bill-another nonprofit apartment dude

Valley Village in Santa Clara , Ca. is a non profit retirement home that rents for under market rents

This is amazing and I would love to find out how much progress you have made. I’m watching dirty money on Netflix and it made me think of this idea.