LEDC Gives First Ever $100,000 Loan to ANXO Bar & Pintxos Through CED Grant
Washington, D.C. - On September 30th, 2016, LEDC was awarded a $400,000 grant from the Department of Health and Human Service's (HHS) through their Community Economic Development (CED) program. The funds are to be used to provide local DC businesses with financing to create jobs with living wages, benefits, and opportunity for advancement for low-income DC residents.
The project allows LEDC to not only support job creation in the region, but test the disbursement of loans larger than its customary $50,000 size. LEDC issued the first loan through the project for $100,000 to Basque Bar LLC. The Basque Bar team will be using the funds to support two new locations. One of which was opened in 2016, Anxo Cidery & Pintxos Bar located at 300 Florida Avenue, and is DC's first cidery. They will produce their own cider and offer over 130 ciders from around the world.
"LEDC is thrilled to have the opportunity to support large-scale restaurant projects in the District that will create many jobs for low-income individuals in the city," said Marla Bilonick, Executive Director, Latino Economic Development Center. "This is an exciting chance to be on the forefront of DC's restaurant boom, while achieving important social outcomes by enhancing individual livelihoods."
Basque Bar LLC currently employs 21 full-time and 16 part-time employees. With these funds, they are hoping to expand their business by creating 5 full-time and 5 part-time positions.
About Community Economic Development:
The Community Economic Development (CED) program is a Department of Health and Human Services, Office of Community Services (OCS) initiative designed to address the economic needs of low-income individuals and families through the creation of sustainable business development and employment opportunities.
Learn more about CED.
About ANXO Cidery & Pintxos Bar:
ANXO opened in July 2016. ANXO's first brick and mortar, located at 300 Florida Avenue NW, is the child of six founders: Managing Partners Sam Fitz and his sister, Rachel Fitz; Executive Chef Alex Vallcorba and his wife, Sara Vallcorba; Beverage Manager Tim Prendergast; and Bar Manager Cooper Sheehan. Combined, the team has over 50 years of experience opening and managing restaurants, including 2 Amys, Meridian Pint, Obelisk, Smoke & Barrel, and ChurchKey.
Learn more about ANXO.
Nearly 66% of Baltimore families of Color Lack the Savings to Sustain a Job Loss or Other Emergency
New report calls for greater investment to address the city's racial wealth divide
Baltimore, M.D. - A new report from the Corporation for Enterprise Development (CFED) reveals a troubling racial wealth gap in Baltimore. The Racial Wealth Divide in Baltimore finds that 66% of households of color are "liquid asset poor," meaning they do not have enough savings to sustain themselves at the poverty level for just three months if faced with a sudden job loss, medical emergency or other income disruption. That compares to 32% of White households, according to the report.
Additionally, the report finds that households of color are three times more likely to be unemployed and three times more likely to live in poverty. The greatest disparities are between White and Black households. The median income among Black households is $33,801, compared to $62,751 for White households, $50,531 for Asian households and $44,116 for Latino households.
With the release of the report, CFED's Racial Wealth Divide Initiative is joining with JPMorgan Chase & Co. and the Center for Public and Nonprofit Leadership at Georgetown University's McCourt School of Public Policy to announce the launch of the second phase of the Building High Impact Nonprofits of Color project, which will help strengthen the capacity of local nonprofits to expand economic opportunity in Baltimore and across the country.
"We will be working in Baltimore to build the capacity of local nonprofits led by people of color serving people of color, as these organizations are on the frontlines of addressing the most pressing needs of underserved Baltimoreans," said Dedrick Asante-Muhammad, Director of the Racial Wealth Divide Initiative at CFED.
JPMorgan Chase provided financial support to CFED to develop the report and conduct trainings to equip more than 20 organizations to launch, expand or improve wealth-building initiatives for communities of color nationwide.
Eleven nonprofits were competitively selected in two cities-Chicago and Baltimore-to participate in the second phase of the project. In Baltimore, the selected nonprofits include Bon Secours Community Works, Center for Urban Families,Druid Heights Community Development Corporation, Inc., Latino Economic Development Center, Muse 360 Arts and Urban Alliance. In Chicago, the selected nonprofits include Chinese Mutual Aid Association,Gads Hill Center,Greater Auburn-Gresham Development Corporation,North Lawndale Employment Network and Spanish Coalition for Housing. These organizations join cohorts in Miami and New Orleans, the two cities that were part of the initial phase of the project.
"LEDC is excited to participate in the 2017 cohort of CFED's Racial Wealth Divide initiative," said Marla Bilonick, Executive Director, Latino Economic Development Center. "The program is a great opportunity for us to build our capacity and strengthen our networks as we deepen our service to Latinos and other underserved populations in Baltimore."
Some of the report's other key findings include:
For more information on CFED's Racial Wealth Divide Initiative, click here.
###CFED's work makes it possible for millions of people to achieve financial security and contribute to an opportunity economy. We scale innovative practical solutions that empower low- and moderate-income people to build wealth. We drive responsive policy change at all levels of government. We support the efforts of community leaders across the country to advance economic opportunity for all. Established in 1979 as the Corporation for Enterprise Development, CFED works nationally and internationally through its offices in Washington, D.C.; Durham, North Carolina, and San Francisco, California