First National Bank Invests $470,000 with Habitat for Humanity

Nov 12, 2015 | Member News

First National Bank is investing roughly $470,000 with Fort Collins Habitat for Humanity to facilitate the construction of homes in the Fort Collins community, announced Mark Driscoll, Market President, First National Bank. Fort Collins has a need for affordable housing, Driscoll said, and the partnership with First National Bank provides cash flow to the organization to help it carry out its mission.

Habitat for Humanity issues mortgages for the homes it provides to modest income families, which are typically 20 to 30-year mortgages with a 0% interest-rate. Habitat for Humanity relies on the monthly principal payments to fund its operations and construction of new homes. This provides a steady, but slow form of revenue for the organization. In order for the organization to grow and build more affordable homes, however, it needs liquidity in the short term. Driscoll said this is where First National Banks steps in with a program called “loan leveraging.”

“Having funds available for us helps us to deal with land and construction issues that arise unexpectedly,” said Kristin Candella, Executive Director, Fort Collins Habitat for Humanity. “It also allows us to act upon opportunities that present themselves. When you don’t have the money, you can’t act when the time is right and families then wait longer to build their homes.”

With the $470,000 that First National Bank will invest into the Fort Collins Habitat for Humanity organization, it will apply the revenue from future loan payments to repay the investment to First National Bank over the life of the mortgages. By having First National Bank purchase the loans, Habitat for Humanity will now have immediate access to money that they would have collected over the remaining life of the loans (about 25 years). With this money in hand, they can partner with more families in need of a safe and affordable home, Candella said. She said this will also allow Habitat for Humanity to complete its work on several homes at Avondale Cottages (in the Ridgewood Hills subdivision in south Fort Collins).

“First National Bank is committed to the success of the communities we serve, and we are proud to partner with Fort Collins Habitat for Humanity,” added Driscoll. “We see this as an investment in the great community of Fort Collins.”


Fort Collins Habitat for Humanity is part of a global, nonprofit housing organization operated on Christian principles that seeks to put God’s love into action by building homes, communities and hope. Fort Collins Habitat for Humanity is dedicated to eliminating substandard housing in the Fort Collins area and worldwide through constructing, rehabilitating and preserving homes; by advocating for fair and just housing policies; and by providing training and access to resources to help families improve their shelter conditions. Habitat for Humanity was founded on the conviction that every man, woman and child should have a simple, durable place to live in dignity and safety, and that decent shelter in decent communities should be a matter of conscience and action for all.