HECA

Housing Enterprise of Central Alabama (HECA) is an institution formed to stimulate the development of moderately priced housing in a 12-county area surrounding Birmingham.

HECA is a "community spirited" lender that is owned by its investor institutions including Regions Bank, Compass Bank, New South Federal Savings Bank, First American Bank, Superior Bank, and Aliant Bank. HECA operates with an initial lending capacity of approximately $56.5 million.

HECA has a non-profit affiliate, the Housing Fund of Central Alabama (the Fund). In addition to the financial institutions involved with HECA, Fund investors include The Community Foundation of Greater Birmingham, The Walker Area Community Foundation and the Community Foundation of Calhoun County. The fund operates with an initial grant pool of $1.6 million.

HECA and the Fund lend money to qualified private and non-profit developers to substantially increase the supply of safe, decent, single family for-sale and rental housing for low- and moderate-income families. To this end, HECA and the Fund will jointly provide gap financing and/or more aggressive construction and acquisition loans or investments to qualified projects. Loans can be structured to provide up to 100% project financing with limited recourse. Eligible projects include: single family housing or multi-family; acquisition and rehabilitation; new construction; and subdivision development.

In addition, the Fund provides grants to non-profits for core operating support on a limited basis, technical assistance and programs related to capacity building in the affordable housing development community.

HECA and the Fund are catalysts for neighborhood revitalization, economic development and the creation of housing opportunities in areas not typically accessible to families of moderate means.

In addition to increasing the affordable housing stock, HECA and the Fund's goals include:

  • Serve as the clearinghouse for information regarding affordable housing;
  • Advocate housing initiatives in the region;
  • Build capacity in the affordable housing development community.

HECA is a Region 2020 initiative.