The Cutting Edge of Community Investing

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The Cutting Edge of Community Investing

• Where Money is the Root of All Good
• University Bank
• SRI in the Rockies
• October 26, 2009

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Sunrise Community Banks

• Certified CDFIs
• Primary mission of community development
• 60 of services in LMI areas
• B-Corp
• First B-Corp in the state of MN
• Certifies sustainability, social mission, and
  governance
• LEED certified
• OUTSTANDING CRA ratings

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Banking Industry

• A comment on the banking industry today
• Divided (healthy) (unstable)(unhealthy)
• Types of loans, geography, management
• Supply and Demand of Credit
• CDFI Banks/C.U. critical role in communities
• University Bank
• Acquisition Spring 2009
• In 2008, Sunrise Banks originated over 86
  million in small business housing loans in its
  CDFI investment area
• Loans have grown over 7 since 2nd Qtr 2009
• Since June 2009, originated 205 loans average
  loan size is 228,000
• Recent examination
• Opening a new branch by 1st Qtr 2010

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Our Business Model

F I N A N C I A L R E T U R N
SOCIAL IMPACT

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University Bank
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University BankCommunity Investing Product
Socially Responsible Deposit Fund Account No
Minimum Deposit Traditional Account Term and
Rates
Affordable Housing
Small Businesses
Community Facilities
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University Bank SRDF
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The Sunrise Homeownership Alliance
Gap Funds
Community Investor (Depositor)
CDFI Bank
Non-Profit
Contract for Deed Homeownership
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Global ImpactMoney Service Businesses
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Somali Refugees in Minnesota
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Collaborations

• Macalester College
• Investments
• Internships
• Promotion of local, sustainable businesses
• Research

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Basic Process
Stakeholders
Sum of Social Returns

• Outcomes
• adjusted for
• Attribution
• Deadweight

20,679,649 (2008 CDFI Loans)
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SROI Ratios by Loan Use

• Loan uses change social return
• Small sample sizes due to few loans
  (multifamily) feasibility

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Total SROI vs. Bank Attributable

• 20 million in loans creates 133 million in
  social return
• University Bank is uniquely responsible for 40
  million of that.

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University Bank