What Business Leaders Can Learn from Affordable Housing Developers

Whether you are a developer, an entrepreneur, or a leader of a for-profit company, affordable housing developers can teach us a lot about business. Often nonprofit, affordable housing projects have come a long way from the historically segregated and dilapidated housing that plagued our cities. Now, these projects are well designed, healthy, and sustainable places to raise families. Many have social services on site, while others have market rate units (non affordable or workforce housing) and commercial retail in the same project. While these developments are traditionally nonprofit with an incentive based financial model, there are some key takeaways that we in the for-profit world can remember.

Establish Your Values

As with many nonprofits, an affordable housing organization's values truly drive the results. With companies like REI, TOMS, Patagonia and others, for-profit models are beginning to show the power of a social enterprise driven by values. Bring your team together before your next project to ensure there is a clear understanding of the mission and values of the organization or project.

Find Creative Revenue Opportunities

Affordable housing developers need to find multiple revenue sources to bring a project to a life. They are constantly searching for and pairing up incentives to find the right formula. That same tenacity can transfer over to for-profit businesses. Look for different revenue opportunities that can enhance your user experience. As a developer, we look for different types of uses that add value to our community or different markets that seem to be at different points in the cycle.

Embrace Partners

Partnerships are key for affordable housing projects. Whether partnered with a social services agency, a local farmer running a market, or nearby school, it takes a lot of different people to make a project successful. Via Verde, developed by the Jonathan Rose Companies, is a green urban project in the South Bronx. The developer partnered with Montefiore Medical Center to operate a wellness center on site. Look to partners to enhance your offerings and better serve your clients in a cost effective way.

Remember, It’s all About People.

The affordable housing financial model allows developers to really focus on residents' needs. The Jonathan Rose Companies is a great example of this. Its projects are well designed to enhance peoples lives. Spend some time contemplating how your company address your employee and customer needs.

Share Your Success

Lastly, once a project is complete, developers often share successes and lessons learned with others in the industry. Take time to mentor, speak at conferences, and meet with other business leaders in your field. Discuss what’s working and what’s not. Share you knowledge to continue to grow your company.

Photo: Via Verde, Jonathan Rose Companies