LOS ANGELES — The Los Angeles County Department of Economic Opportunity or DEO, in partnership with Supervisor Holly J. Mitchell, launched the commercial acquisition fund or CAF to provide capital to countywide non-profit organizations, helping acquire and revitalize commercial spaces within local communities affected by the COVID-19 pandemic.
The CAF, an integral component of the county’s economic mobility initiative or EMI, will disburse $10 million in American Rescue Plan Act or ARPA funds through recoverable grants ranging from $500,000 to $2,000,000. These grants aim to assist qualifying nonprofit entities, including community development corporations and community land trusts, in acquiring vacant or abandoned properties in order to revitalize commercial spaces and create opportunities for small businesses and community organizations. To see if an organization qualifies or to apply, visit here.
Eligibility and Application Process:
Organizations seeking to participate must first apply to become designated Qualifying Acquisition Entities or QAE. To qualify as a QAE, eligible entities must satisfy the following criteria:
Maintain active nonprofit status (including community development corporations/community land trusts)
Must be an LA County certified business, partnered with a nonprofit
Are in good standing with governmental authorities and don’t have unresolved violations in the county’s contracting database
Once designated as a QAE, non-profit organizations can then propose projects for properties located within areas identified as highest and high-need according to the county’s COVID-19 vulnerability and recovery index in the equity explorer tool. The application process to become a QAE can be found here. Eligible QAEs will receive notification of their eligibility within 30 days of application submission. To learn more, interested nonprofits are invited to attend the following optional online webinar and in-person training options:
- CAF Webinar
10 a.m. to 12 p.m., April 24
RSVP Here
- CAF In-Person Training
10 a.m. to 12 p.m., May 9
RSVP Here
Property acquisition proposals will be accepted from QAEs on a first-come, first-served basis beginning in June of 2024, with all transactions needing to close by Dec. 1, 2024. Proposals must include a financially viable plan for rehabilitation and ongoing operations. QAEs are obligated to lease available spaces to qualifying businesses and nonprofits at below-market rents for a 55-year term, ensuring long-term community benefits.
DEO’s Commercial Acquisition Fund is a core component of the county’s EMI, launching April 29 at the first of five small business summits. The launch of EMI kicks off Small Business Month and aims to strengthen the regional economy by supporting the startup and growth of local entrepreneurs, small businesses, and nonprofits. Stay tuned for further announcements later this month.
To register to attend or learn more about the upcoming Small Business Summit series, visit here. To learn more about the county’s new Economic Mobility Initiative, visit here.