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Community Impact – 2022
To say the Community Builders of Kansas City team was busy last year would be a vast understatement. In 2022, the organization increased its staff by seven, grew its subsidiary property management company EastPointe Realty LLC, purchased a second grocery store on the East Side and celebrated significant milestones for three of its development projects. This is in addition to the myriad community outreach efforts that included an urban bus tour, free outdoor movie at Starlight Theater, multiple food giveaways and a two-day Christmas holiday celebration.
“CBKC is a leader of economic development, access, opportunity and advocacy for Kansas City’s east side since 1991,” said Emmet Pierson, Jr., president and CEO. “As millions live in a state of housing uncertainty or instability, struggle with consistent employment and face other challenges, CBKC knows it is time for non-profit CDCs to partner-up and scale-up.”
To execute on CBKC’s aggressive development and community agenda, the organization needed to grow its staff. Michael Dayton, senior advisor to the president; Jon Hartner, development specialist; and Anita Krasniqi, comptroller, joined CBKC in 2022. CBKC Eats, the organization’s subsidiary focused on healthy food initiatives, added Laura Hohlbaugh, chief retail operations officer, to oversee both its KC Sun Fresh grocery stores, Olivier “OT” Kabuya as store director of the Dr. Martin Luther King, Jr. Blvd. location and Tony Gutierrez as store director for the Linwood location.
Development in 2022 was highlighted by the September grand opening of The Rochester, an affordable luxury multi-family project at 3949 Dr. Martin Luther King, Jr. Blvd. The $13 million, first-of-its-kind project brings a new living option to Kansas City’s East Side. The 81,400-square-foot space offers units ranging from one-bedroom to a penthouse two-bedroom executive suite. All feature in-demand finishes and amenities.
The transformation of The Cleveland from two separate projects into one began in November. The renovation includes the complete modernization of 80 residential units and construction of a new community building. The property features three-bedroom duplex units, ranging from spacious 1,039 to 1,276 square feet, complete with a single-car attached garage. It is expected to be complete in 2023.
CBKC was awarded $8.8 million in low-income housing tax credits (LIHTC) by the Missouri Housing Development Commission for a major remodel of the Twin Elms Senior Housing Complex. Situated at 41st Street and The Paseo, the 54-unit complex meets the pressing demand for affordable senior housing in Kansas City’s city center. Its art deco design and amenities, including controlled building access, onsite laundry, off-street parking, community space and exercise room have earned recognition. The project will begin renovation in 2023.
In keeping with its mission to provide healthy, affordable food in urban areas, CBKC in February became owner and operator of the Lipari Bros. Sun Fresh at Linwood, one of the few remaining full-service grocery stores east of Prospect. The acquisition of the 38,000-square-foot store, renamed KC Sun Fresh, brings the organization’s supermarket ownership to two locations totaling 90,000 square feet. It also adds CBKC to a very short list of African American-led, full-service grocery stores in the country.
EastPointe Realty, a full-service real estate brokerage subsidiary of Community Builders of Kansas City specializing in property management, has seen growth and expansion since its establishment 18 months ago. The firm has expanded to St. Louis and now manages 990 units with 31 employees.
CBKC’s tradition of community outreach continued in 2022 with old favorites as well as a new event. In May about 50 residents, neighborhood and civic leaders participated in the inaugural Urban Bus Tour to view the transformational change CBKC is influencing in the area. In partnership with the Missouri Black Legislative Caucus, the tour allowed CBKC to showcase its developments to its stakeholders.
More than 150 local residents enjoyed a free showing of the modern family classic The Lion King at Starlight Theater. At the fourth annual Thanksgiving giveaway nearly 600 adults and 340 households were gifted turkeys along with meal kits from Harvesters to enjoy for the holiday. Flu and Covid vaccines, free books and Bombas socks were available as well.
The year closed with the second annual Soul of Santa Tree Lighting event at The Shops on Blue Parkway in December. The two-day celebration featured Christmas carols and a dazzling tree lighting; donation of hats, mittens and scarves; complimentary hot breakfast; Santa letter-writing; book readings and a special Christmas gift for the kids.
For LM2, Purpose is Principle
When LaTasha McCall, president and founder of LM2 Construction & Consulting, LLC, says helping others is ingrained in her company, it is more than lip service. For the Kansas City native, everything her general contracting company does has a purpose.
McCall, who is a Kansas City Business Journal 2022 Women Who Mean Business honoree, says she makes it a priority for the company to look for business projects that give back to the community. As such, the 100 percent black women-owned firm pursues a lot of affordable housing projects, completed the interior of The Rochester and is working on Swope Health’s radiology unit and the new Pace KC Program and Adult Wellness Center.
As for community service, she is not shy about fostering a giving culture within her company.
“Every one of my 38 employees participates in our philanthropic projects,” she said. “When I hire someone, that person agrees to do four to six hours of community service per quarter. If you don’t want to or can’t, you don’t work with us. It’s in our employee handbook.”
LM2 strives to do a community service project eight to 10 times per year which provides ample opportunity for employees to get in their hours. One of its biggest projects is partnering with iCare Village and World Harvest Ministry to renovate houses for disadvantaged families.
“We had a mom of nine kids who was living in an apartment and was going to lose all nine children if she could not find better accommodations,” she said. “We found a church-owned home and renovated it so she would have a proper place to call home.”
McCall and her team also provide needed repairs for residents who cannot get their landlord to respond.
“We get anywhere from three to seven calls per week from single moms who need something at their house fixed and the landlord isn’t responding,” she said. “We will go in and, for example, fix a leaky roof, free of charge.”
The need for this service is so great that McCall plans to grow the program.
“By 2024 I hope to be able to buy one home each year to fix up and donate to a single mom,” she said.
LM2 supports Ruskin High School by providing groceries and household items for the Caring for Kids “store” that serves the school’s homeless children and their families. The company also donates treats and prizes to the school on testing days, teacher appreciation days and more.
McCall said her employees participate in numerous other charitable events such as back-to-school drives and turkey drops like those hosted by Community Builders of Kansas City.
“Everything we do has a purpose,” she said. “We give back to society; that’s why we do what we do and why we work with organizations like Community Builders of Kansas City.”
To learn more about LM2 visit https://lm2cc.com/.
CBKC Decks the Halls with Holiday Festivities
For the third straight year, Community Builders of Kansas City donated approximately 600 turkeys to area residents. To complement the turkeys, Harvesters donated meal kits with all the fixings to complete the Thanksgiving meal. In addition, attendees had access to flu and covid vaccines, free books and Bombas socks. Recipients were especially appreciative this year as they turned out to the event at Friendship Baptist Church, 3530 Chelsea Drive. In total, 593 adults including 89 seniors, 498 children and 340 households were served.
Honorary chairpersons Jackson County Executive Frank White and Teresa White and special guest Congressman Emanuel Cleaver, II were on hand to deliver remarks. Community partners included A. Philip Randolph Institute, Catholic Charities of Kansas City-St. Joseph, U.S. Department of Health & Human Services, Greater Kansas City AFL-CIO, Greater Kansas City Building & Construction Trades Council, Harvesters, LM2 Construction & Consulting, Murrell Homes, State Sen. Barbara Anne Washington, University Health, Walgreens and Community Builders of Kansas City/EastPointe Realty staff members.
“CBKC is immensely grateful to our partners without whose help this important community initiative could not have taken place,” said Emmet Pierson, Jr., CKBC president and CEO.
In December, CBKC hosted the second annual Soul of Santa Christmas Tree Lighting at The Shops on Blue Parkway. The Soul of Santa’s tree lighting is an inclusive family-oriented holiday event for underserved communities.
The event kicked off Friday, Dec. 9, with Christmas carols followed by a spectacular tree lighting. In addition, free hats, mittens and scarves were given out and Elexa Pierson of CBKC, extended holiday wishes. The family fun continued Saturday morning with a free hot breakfast, Santa letter-writing, book readings and a special Christmas gift just for the little ones. Thank you to The Soul of Santa for bringing its festive holiday event to Blue Parkway.
We wish all our friends and family the merriest of Christmases, happy holidays and a joyous New Year.
The Cleveland Renovation, Construction Underway
Community Builders of Kansas City (CBKC) has closed on financing and construction has begun on the complete renovation of The Cleveland, the $14.3 million project that will combine Mt. Cleveland Heights and Mt. Cleveland Townhomes into one project. Located at 51st Street and Cleveland Avenue, the property boasts all three-bedroom duplex units that range in size from an expansive 1,039 to 1,276 square feet and include a single-car attached garage.
“The renovation plan includes a comprehensive modernization of the 80 residential units, 10 of which are currently underway, and construction of a new resident clubhouse,” said Shannon Hesterberg, “We are working closely with a consultant to relocate residents into newly finished units and anticipate a minimum of disruption.”
On the interiors, units are being outfitted with modern appliances and energy-efficient systems as well as new paint, flooring, bathrooms and kitchens. Exterior property updates include new roofing and paint.
The new clubhouse will feature space for classes, an exercise room, a computer room and a common area where residents can hold meetings or social gatherings. Residents will be able to take advantage of new onsite programming such as health/wellness initiatives, job search and career development services and youth-oriented activities.
Through a partnership with the Beta Lambda Educational Institute, student services such as mentoring, access to an annual tour of Historically Black Colleges and Universities and ACT prep classes will be available for eligible residents.
The Cleveland offers a range of affordability, from 18 Public Housing Authority (PHA) units serving families at or below 30 percent of Area Median Income (AMI), to 54 Low Income Housing Tax Credit (LIHTC) units serving families at or below 60 percent AMI, to eight market-rate units available to all families.
“This is an example of the type of mixed-income housing development the city of Kansas City, Missouri is seeking,” explained Hesterberg. “It is also a testament to CBKC’s mission and commitment to the community. The new project will allow any resident whose income exceeds 60 percent AMI the opportunity to continue to be a part of this community.”
CBKC closed on financing in early November, securing MHDC fund balance and HOME loans, a construction loan from UMB Bank and equity from the sale of 9 percent Low Income Housing Tax Credits. Additionally, the city of Kansas City, Missouri, and Housing Authority of Kansas City, Missouri resubordinated debt to the project and the Sunderland Foundation provided $750,000 in funding.
The development and financing team is made up of professionals with extensive experience in multi-family, low-income housing tax credit projects and includes Straub Construction; Rosemann & Associates PC architects; Powell Engineering; EastPointe Realty, LLC; Hardwick Law Firm; Horizon Housing Foundation; LWH Consulting, LLC; RCT Investments, LLC; Raymond James; Sugar Creek Capital; MHDC; the city of Kansas City, Missouri; Housing Authority of Kansas City, Missouri; and UMB Bank. CBKC is the developer of the project and will serve as general partner. Its subsidiary EastPointe Realty will manage the property.
“We’re grateful to all our partners who have come together to make this exciting renovation possible for our residents,” said Hesterberg. “The Cleveland is the cornerstone development that led to CBKC’s creation so we are excited to oversee its modernization that will take it into the next generation.”
The $14.3 million rehabilitation of The Cleveland is just the latest manifestation of CBKC’s mission to change the landscape by promoting equity, access, opportunity and advocacy.
The Financial Engine Behind Childcare, Education, Healthcare and Housing for KC’s Most Vulnerable
If you haven’t heard of IFF yet, you likely will soon. IFF, headquartered in Chicago, is the Midwest’s largest community development financial institution (CDFI) and has been the behind-the-scenes driver of some crucial nonprofit development projects in Kansas City. In 2020, IFF named Community Builders of Kansas City President and CEO Emmet Pierson, Jr., to its national board and later took office space at CBKC’s 5008 Prospect building to focus on the area.
“IFF maintains a deep commitment to Kansas City given all of the critical community-based work Kansas City nonprofits are leading,” said Stephen Westbrooks, IFF executive director, Southern Region. “We’re here to help accelerate and strengthen their missions.”
IFF was founded in 1988 as a nonprofit lender, developer and consultant focused on helping Midwest nonprofits. It offers non-appraisal-based lending, real estate and facilities development services and research studies, exclusively for nonprofits operating in urban cores.
One of IFF’s most recent local projects is serving as owner’s representative for Swope Health on its new Program of All-Inclusive Care for the Elderly (PACE®) on the CBKC campus. Located adjacent to Swope Health Central at 4141 Dr. Martin Luther King Jr. Boulevard, the PACE KC Adult Wellness Center will provide a full range of personalized healthcare and wellness services to allow older adults to age gracefully in their home communities. The project is currently under construction and is scheduled to be completed by June 2023.
“As owner representative for the PACE KC project, we’re able to employ our expertise in construction management, which includes navigating the complex financing tools typically involved in nonprofit development to comprehensively represent Swope Health’s leadership and board on all facets of the project,” said Westbrooks.
IFF was instrumental in the creation of the Emmanuel Family and Early Childhood Development Center’s new 28,000-square-foot facility with the capacity to serve 370 children, a much-needed early childhood center in Kansas City’s urban core at 4736 Prospect.
“We became involved when the owner hit significant hurdles, and we were able to offer support by bringing the right expertise to the team, advance the financing and shepherd the project to completion,” said Westbrooks.
IFF has been a vital player in other local development by nonprofits such as BlaqOut, Inc., that recently closed on a $1.2 million IFF loan for its new 6,000-square-foot headquarters in the heart of midtown Kansas City. BlaqOut supports the physical and emotional needs of Black queer/Same Gender Loving men in the Kansas City area. The new headquarters will serve as a one-stop shop for its members.
Community Housing of Wyandotte County (CHWC) is a nonprofit that works to stabilize and revitalize neighborhoods and communities through affordable housing, community engagement and placemaking. A longtime IFF client, it recently closed on a $630,000 land acquisition and predevelopment loan to support the development of mixed-income, for-sale housing.
Also on the Kansas side of the state line, KidZone Learning Center of Wyandotte County, Inc., an early learning center affiliated with the Kansas District of Wesleyan Church, has been supported by IFF through flexible financing in excess of $1.8 million for land acquisition, construction and site improvements.
IFF, founded as the Illinois Facilities Fund, also has offices in Columbus, Detroit, Grand Rapids, Indianapolis, Milwaukee and St. Louis.
Partner Spotlight: Edgemoor
Edgemoor Infrastructure & Real Estate is partnering with Community Builders of Kansas City and Parson + Associates on a pioneering new concept in downtown Kansas City, a 20-plus story, $100 million, mixed-use neighborhood at 10th and Main streets. The project will include workforce-focused housing, restaurants, retail and a transportation hub.
“Edgemoor is dedicated to improving the communities it serves, is exceedingly collaborative and a creative problem solver,” said Emmet Pierson, Jr., CBKC president and CEO. “Downtown needs attainable housing for its workers and Edgemoor is committed to building an inclusive neighborhood where everyone can be part of the downtown boom that’s occurring, regardless of income level.”
Edgemoor is a leading developer and asset manager of public buildings and infrastructure. It has offices in Kansas City, Missouri, as well as McLean, Virginia; Bethesda and Baltimore, Maryland; Irvine and San Diego, California; Chicago, Illinois; Nashville, Tennessee; Houston, Texas; and Seattle, Washington. Edgemoor has $2 billion in completed projects and another $2.5 billion currently under development.
In addition to the high-profile Kansas City International Airport New Terminal Modernization project, Edgemoor was the master developer of the University of Kansas’ $350 million Central District project that included the construction or renovation of eight buildings on the university’s Lawrence campus.
Edgemoor prides itself on its turnkey delivery that accelerates completion of needed infrastructure and real estate while minimizing risk through cost and schedule guarantees. Also, it brings added value to its clients after delivery and occupancy through its asset management capabilities. By maintaining an oversight role early on, Edgemoor ensures cost-effective and efficient operations.
Edgemoor also offers development management services. Acting as the overall team lead, Edgemoor coordinates between end users, key stakeholders and the project team. Clients can choose from a range of development services to meet their specific requirements on a project-by-project basis.
Edgemoor’s qualifications as a development partner are second to none but equally important, CBKC values its commitment to the communities it serves. Edgemoor prides itself on not only developing projects in our communities but also growing local workforce, increasing capacity for minority and women-owned businesses, and empowering small businesses to succeed. Employees are encouraged to volunteer, whether through helping Boy Scouts earn a merit badge or by rolling up their sleeves to volunteer at Veterans Community Project. In all the communities in which it works, the organization places a priority on making positive impacts through giving back.
You can learn more about Edgemoor at www.edgemoor.com.