Fiscal Year 2021 Annual Report

Fiscal Year
2021
Annual
Report

Mission in Focus

During a record-breaking Fiscal Year 2021 (FY 21), CPC deployed roughly $937 million in capital to support impactful housing and community development projects across our construction, permanent, and Agency lending and investing platforms. Each loan and investment tells a story of the housing that is built, the small BIPOC developer who is able to grow their business or the tenants who have safe, affordable housing. They reflect CPC’s deep commitment to our mission and our transformative impact within communities and on people’s lives.

This was a year when states and municipalities continued to grapple with the fallout of the pandemic, and the impact of severe weather events on housing and other infrastructure. Underserved communities, particularly those of color, often suffer far deeper impacts during times of crisis.

In response to these issues, CPC refocused our unique expertise in housing finance and public policy to help expand access to affordable housing and drive down the costs of housing production, advance diversity and equity within the development industry and mitigate the effects of climate change in our communities by financing sustainable housing.

Our work included launching the $20 million ACCESS initiative to invest in BIPOC real estate entrepreneurs to help them build their businesses and expand quality housing in Black and brown communities. We partnered with New York State to administer COVID relief funding to small rental building owners, and together launched a new program to transform blighted properties into home ownership opportunities for low-income New Yorkers. And our sustainability practice continued moving the multifamily industry towards sustainable construction and decarbonization of the built environment, financing hundreds of high-efficiency units and convening a multi-day virtual Carbon Neutral Summit.

As part of a collaborative effort, we closed on the financing to begin a comprehensive rehabilitation and revitalization of 38 buildings and more than 1,710 apartments across 16 public housing properties in New York City. This project will preserve a critical piece of deeply affordable housing stock, and bring long-term stability to the nearly 3,000 people who live there.

CPC’s mission is the through line that propels each of the company’s business lines and initiatives, directing our unique expertise and determining how we deliver our capital to the people and places where they are needed most. Our belief that housing is the foundation of thriving, equitable communities will continue to move us forward and guide our work.

FY 21
Highlights

$937

Million in Lending
and Investing

Bar chart demonstrating an uptrend.

8,400

Units Created or Preserved

Hand holding hammer.

260+

Loans

Hand writes with fountain pen.

74%

Affordable Units

Two-story building exterior with tree out front.

67%

Sustainable Units

Hand holding seedling in dirt.

$4m

to Support Black and
Brown Developers

Handshake.

President's
Message

Each loan and investment made in FY 21 tells a story of CPC’s deep commitment to our mission and the transformative impact within neighborhoods and on people's lives. Thank you to our customers, partners, the CPC team and the communities we serve throughout New York and across the country.

“I am incredibly proud that we were able to leverage our mission-driven work and the capital we provide to create new economic opportunity at a time when communities were struggling to recover from the enormous toll of COVID-19.”

- Rafael E. Cestero, President & CEO

Play Video

Rafael (handwritten signature).

Uniquely CPC

The CPC team executed our mission at unprecedented scale in FY 21, working across our flexible suite of capital products to deliver nearly $940 million in flexible capital to neighborhoods across New York and beyond.

Construction Lending

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Buildings being constructed.

Mortgage Company

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Affordable housing building.

Community Capital Advisors

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Eight people in suits and hard hats smile in front of pile of dirt while holding shovels.

ACCESS

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Three women in business attire and surgical masks smile in a hallway.

Sustainability

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Mountain covered with pine trees.

Impact Investing

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Inviting one-story house with freshly-cut grass and tasteful shrubbery.

In Times of Need

When disaster strikes, it is often the most vulnerable communities that are hit the hardest. Based on the company’s history of nimble response to emergencies affecting New York’s underserved neighborhoods, CPC is a trusted partner to governments and the communities we serve together in times of urgent need.

In Fiscal Year 2021, CPC responded to the COVID-19 crisis and calls to action from our partners by successfully standing up and deploying emergency funds through two new programs in partnership with New York State.

New York Forward Loan Fund

Small multifamily building owners are critical providers of rental housing in New York State, and the pandemic threatened their ability to cover mortgages, taxes, utilities and maintenance – all critical to providing safe, quality homes for residents.

Based on CPC’s track record of serving small building owners and operators, the State selected CPC to administer needed relief through the small buildings program under the State’s New York Forward Loan Fund (NYFLF).

Quaint brick building with fire escape.

As the State’s NYFLF partner, CPC proudly collaborated with five local Community Development Financial Institutions to reach small building owners across New York.

  • Community Loan Fund of the Capital Region
  • Greater Rochester Housing Partnership
  • Long Island Housing Partnership
  • NY Community Capital
  • NY Home Headquarters

123

Loans

$5.7

Million Deployed to Small Landlords

New York Hospital Surge

CPC partnered with Goldman Sachs to deploy the New York City Economic Development Corporation’s COVID-19 Surge Staffing Loan Program, which filled a funding gap at New York City safety net hospitals experiencing a surge in staffing needs due to the COVID-19 pandemic. The program supported New Yorkers across Queens, Brooklyn and the Bronx.

$12

Million

3

Hospitals

Quaint brick building with fire escape.

Our People

CPC values our people and is dedicated to attracting and developing diverse talent. We foster connections with each other, our mission and the communities we serve.

The CPC Team

Although the team could not be together physically for much of FY21, our committed staff came together (virtually) to plant seeds for Earth Day, take cooking and art classes, play trivia and chat with business leaders over coffee. Thanks to our engaged employees, CPC connections remained strong throughout our months of remote working.

CPC Staff Giving Back

In FY21, CPC continued to give back to the communities we serve with support for our nonprofit partners and other mission-aligned organizations.

Our Work In Action

Donations from CPC, our team members and some of our PACT Renaissance Collaborative partners allowed CPC to distribute toys, gifts and gift cards to children and young adults living in New York City’s public housing. CPC volunteers ended the year on Governor’s Island to help prepare the GrowNYC urban farm for elementary school visitors who come from across NYC to learn about sustainability and how food is grown.

Leadership

Operating Committee

RAFAEL E. CESTERO
President
Chief Executive Officer
Chair, Operating Committee
SADIE MCKEOWN
Executive Vice President
Construction Lending & Initiatives
Vice Chair, Operating Committee
CAROLYN AU
Executive Vice President
Chief Operating Officer
JOHN CANNON
President
CPC Mortgage Company
RICHARD A. KUMRO
Executive Vice President
General Counsel & Secretary
DAVID ROTHBERG
Executive Vice President
Chief Financial Officer
WANDA CHIN
Senior Vice President
Chief Credit Officer
JEFF ELY
Senior Vice President
Administration
LAWRENCE HAMMOND
Senior Vice President
Director of ACCESS
ELIZABETH PROPP
Senior Vice President
Investments & Acquisitions
WILLIAM C. RUSSO
Senior Vice President
Capital Strategies
ERIN BURNS-MAINE
Vice President
Director of Policy & Advocacy
JAIME SHARROCK
Vice President
External Affairs

Board of Directors

BRUCE A. BEAL, JR.
President
Related Companies
RAFAEL E. CESTERO
President & CEO
The Community Preservation Corporation
EDUARDO DIAZ-PEREZ
Managing Director and Global Head of Real Estate and Asset Finance
Credit Suisse
INGRID GOULD ELLEN
Faculty Director
NYU Furman Center for Real Estate and Urban Policy
TODD A. GOMEZ
Senior Vice President
Bank of America
MICHAEL HEGARTY
Senior Advisor (Ret.)
CCMP Capital Advisors, LLC
CAROL M. JOSEPH
Real Estate/Legal Consultant
MANUEL MENENDEZ, JR.
Senior Vice President – Multifamily Chief Credit Officer (Ret.)
Fannie Mae
RICHARD ROBERTS
Managing Director, Acquisitions
Red Stone Equity Partners, LLC
GARY RODNEY
Managing Director, Affordable Housing Acquisitions & Development
Tishman Speyer
ANDERS M. TOMSON
CEO and President, Chemung Canal Trust Company
President, Capital Bank
STEVEN J. WEISS
Partner
Cannon Heyman & Weiss, LLP
ALAN WIENER
Managing Director
Wells Fargo Multi-family Capital

Fiscal Year 2021

0
4,000

Housing Units

Financials

CPC & Subsidiaries

Consolidated Financial Highlights (000s)

Net Assets $270,720
Revenues $90,286
Net Income $43,255

Assets Under Management (000s)

Servicing Portfolio $3,646,571
Construction Loan Portfolio $1,209,451
Equity Portfolio $44,551
Investment Portfolio and Cash Under Management $600,678

Totals

TOTAL ASSETS UNDER MANAGEMENT $5,501,250
Equity Units Owned 2,900

Contact

New York Regional Offices

New York City

Robert Riggs
220 East 42nd Street, 16th Floor
New York, New York 10017

Capital Region

Nicholas V. Petragnani, Jr.
54 State Street, Suite 201
Albany, NY 12207

Central New York

Nicholas V. Petragnani, Jr.
315 North Clinton St
Syracuse, NY 13202

Hudson Valley

Doug Olcott
480 Bedford Road, Suite 4201
Chappaqua, NY 10514

Western New York

Andrew D’Agostino
500 Seneca Street, Suite 140
Buffalo, NY 14204

Upstate Revitalization

Thomas McGrath
480 Bedford Road, Suite 4201
Chappaqua, NY 10514

CPC Mortgage Company

John Cannon
220 East 42nd Street, 16th Floor
New York, New York 10017

Community Capital Advisors

Elizabeth Propp
220 East 42nd Street, 16th Floor
New York, New York 10017

ACCESS

Lawrence Hammond
220 East 42nd Street, 16th Floor
New York, New York 10017

Impact Investing and Initiatives

Atalia Howe
220 East 42nd Street, 16th Floor
New York, New York 10017

Sustainability

Danielle Donnelly
220 East 42nd Street, 16th Floor
New York, New York 10017

Thank You

Looking ahead, CPC will continue to extend our financial resources and hands-on support deeper into communities, tying each loan and investment to our goals of expanding access to affordable housing, investing in the green economy and closing the racial wealth gap.

Group of people smile in urban farm wearing CPC shirts.

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