Building an Equitable Future

[Originally Published on Finance & Commerce, Written By Brian Johnson: View Source]

A recent study conducted for LISC Twin Cities, which promotes investment in historically low-income neighborhoods, shows that Black, Indigenous, People of Color [BIPOC] developers have no shortage of good ideas for new residential and commercial projects.

But all too often, those plans fail to graduate from concept to finished project. Systemic racism, lack of access to capital, and networking challenges in a world dominated by white males are barriers to success, the study shows.

As Finance & Commerce has reported, research and anecdotal evidence show that the Twin Cities construction and development community is still largely the domain of white-owned businesses.

Johnny Opara, a Twin Cities-based developer of color, estimated in a July 2021 interview that that less than 1% of all developers in the metro area are Black.

“When you don’t have folks that look like you in this space, the barriers to entry are so high it de-motivates you to continue on this path,” Opara said. “Or if you’re already on this path, the stress alone, the uncertainty alone, would have you thinking, ‘Am I doing what I’m supposed to be doing?’”

This week, Finance & Commerce is publishing the first in a series of articles that will introduce readers to BIPOC developers and their projects in and around the Twin Cities. Each story sheds light on some of the opportunities and challenges faced by developers of color.

This multi-part series begins with a focus on Kenya McKnight-Ahad. A 2019 Finance & Commerce Top Women in Finance honoree, McKnight-Ahad goes to bat for women in her community, helping them achieve financial security.

In her first foray as a developer, she recently purchased a building on Broadway Avenue in north Minneapolis and is planning a major expansion. She hopes the project will be a springboard for more investment on the north side.

Part 1 – Kenya McKnight-Ahad: ‘She’s smart; she’s committed. … She’s a fighter.’

Kenya McKnight-Ahad owns and operates a business that helps women of color active financial security. In 2016, she moved out of a building on Broadway Avenue in North Minneapolis because the previous owner raised the rent. Now she’s back in – as the building’s new owner. She’s planning a major addition to the building.

Part 2 – Investing in George Floyd Square

Local developer Dan Coleman joins the effort to revitalize properties, especially on Minneapolis’ south side, his sweet spot for development of low-income housing and commercial space for small business owners.

Part 3 – Kenya-born builder finds niche

Leaning on her background in international finance and her willingness to try something new, Jennifer Kuria found her calling as a provider of affordable housing in underserved areas of Minneapolis, Brooklyn Park and other metro area cities.

Part 4 – Investing in St. Paul’s East Side

A business woman and independent journalist, Georgia Fort wanted to create some wealth for her family while investing in and laying deeper roots into the east St. Paul community she has long called home.

Part 5 – Keeping a promise to his father

In 2017, Johnny Opara had a grand vision for a St. Paul property that others dismissed as just another vacant lot. Opara, founder of JO Cos., was an aspiring developer at the time. Fast forward to today.

Opara, who was born in Nigeria, closed recently on financing for a project that will return that nondescript East Side parcel at 520 Payne Ave. to productive use — and bring more than 60 much-needed affordable homes to the neighborhood.

[View original article here]