SLEHCRA is happy to join with our allies at Chicago’s Woodstock Institute in announcing a $3 billion multi-market Community Development Plan with The PrivateBank as part of their merger with CIBC. St. Louis is The PrivateBank’s second largest market area. The PrivateBank has branches in both markets, but a far larger presence in Chicago. From the press release:
“The PrivateBank today announced a three-year Community Development Plan to further its recognized programs to serve the credit, banking and financial literacy needs of the individuals and communities it serves.
Under the Community Development Plan, The PrivateBank will commit at least $3 billion to loans, investment and charitable contributions for small businesses and underserved individuals, families and communities within its Community Reinvestment Act (CRA) assessment areas. The Plan was developed in collaboration with its community partners at the Woodstock Institute and the St. Louis Equal Housing and Community Reinvestment Alliance (SLEHCRA). The Plan demonstrates The PrivateBank’s commitment to remaining a leader in community development activities as it becomes part of the CIBC organization following the expected successful completion of the pending merger with CIBC by the end of June 2017. The Plan has the support of CIBC.”
Later in the release, SLEHCRA Co-chair Elisabeth Risch speaks to the importance of these agreements for increasing access to banking services and products:
“SLEHCRA is pleased to partner with the PrivateBank on this Community Development Plan. This Plan represents significant commitments that will increase access to homeownership, build capacity of small businesses, and invest in our communities in St. Louis. Our coalition is looking forward to working with the PrivateBank to implement this plan over the next three years.”
Highlights of the plan include:
- Establish two new branches in underserved communities in its Chicago CRA assessment area, including one located in a low-income census tract;
- Originate an aggregate $900 million of small business loans;
- Originate an aggregate $1 billion in residential mortgage loans throughout its CRA assessment areas, including $200 million in loans to underserved borrowers and communities;
- Make at least $100 million in aggregate CRA-qualified investments;
- Originate an aggregate $1 billion in Community Development loans throughout its CRA assessment areas; and
- Contribute an aggregate $10 million in charitable donations, including at least $5.5 million in CRA-qualified charitable contributions, to its community partners.
The full press release can be read here.