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Omaha Municipal Land Bank
1905 Harney Street, Suite 224 Omaha, NE 68102
www.omahalandbank.org
Facebook: www.facebook.com/omahalandbank LinkedIn: www.linkedin.com/company/omahalandbank/ Instagram: www.instagram.com/omahalandbank/
Shannon Snow
Executive Director
grants@omlb.org
+1 (402) 800-1235
Yes
Shannon Snow, Executive Director Deana Walocha, In-House Counsel Andrea Purdy-Steenholdt, Director of Operations Carisma Jano, Legal Assistant
The Land Bank currently employs four full-time staff: Executive Director, In-House Counsel, Director of Operations, and a Legal Assistant. The Executive Director and staff work under the supervision of a Board of Directors, which consists of seven voting members and additional nonvoting members all appointed by the Mayor of Omaha. A copy of our organizational chart is attached.
The Omaha Municipal Land Bank (OMLB)is a local, governmental, nonprofit organization that acquires, maintains, and sells vacant and distressed properties for productive use. Each year, the Land Bank maintains an average of 300 vacant properties in Omaha. Several of these properties are located in Omaha’s most underserved neighborhoods. Vacant, abandoned, and dilapidated properties result in an increase of violent crime, safety and health hazards, and depressed property values. By acquiring, maintaining, and selling these properties for strategic reuse, the OMLB is able to support long-term community redevelopment in Omaha. As the owner of over 300 vacant and affordable properties in Omaha, the OMLB plays a key role in catalyzing local real estate development. In 2021, the Land Bank sold 66 properties to buyers who had plans to expand property lines (24% of dispositions), create community spaces (13%), build new housing (38%), or build a new business (7.5%). Side lots, which are unbuildable lots, comprised 9.2% of property sales in 2021. These buyers consisted of local real estate developers, community members, residents, and nonprofit organizations. Based on internal assessments aimed at understanding barriers to purchasing property, the Land Bank found that a majority of our properties were purchased by experienced real estate developers, community development nonprofit organizations, or individuals with vast experience in construction. We also found significant differences in the progress of development plans between properties purchased by developers or experienced builders and properties purchased by residents or individuals without any background in construction. These assessments highlighted the need for a comprehensive support system to allow community members of all educational backgrounds and socioeconomic statuses to contribute to local development. The Land Bank is in the process of launching a One-Stop Shop Website, which is a comprehensive platform and an extension of our current website. One-Stop Shop will include financial and educational resources that will guide buyers throughout the entire process of purchasing and redeveloping a property. Over the past few months, the Land Bank has made substantial changes to its online application and disposition process as part of the development of the One-Stop Shop website. This included changes to our online application were implemented to improve the accessibility and user-friendliness of the application. In addition, applicants are now asked to fill out a pre-application survey with each application. This survey is designed to provide staff with additional information that may not be otherwise presented in the application, such as the specific type of property a buyer is interested in purchasing or the type of house they are looking to build on a property. These questions allow staff to view an applicant’s interests and guide them in the right direction when searching for properties.
One Stop Shop
600000.0
600000.0
Service/program
The Land Bank will create an interactive and comprehensive web-based platform to coach prospective buyers through the process of new home construction by connecting them with emerging entrepreneurs through technology. Ultimately, prospective buyers will be able to find building plans, builders, affordable real estate and funding to carry out a construction project from start to finish on the OMLB’s website. This project was conceived in partnership with other local community development non-profits and the first phase, which included a re-build of the Land Bank property application, was completed in 2022. By partnering with nonprofits that specialize in building capacity for underrepresented developers, contractors, and entrepreneurs and provide financial resources for affordable housing projects, the Land Bank will effectively bring together the network of organizations actively supporting community-led real estate development in Omaha in a manner that is accessible and digestible for the prospective owners and developers with limited experience and financial resources. This project began in 2020 with technical assistance provided by Freddie Mac. This funding allowed the Land Bank to hire Don’t Panic Labs to evaluate our role and the needs for connecting buyers to the necessary resources to execute a structure on a Land Bank Lot. This vision was created with assistance from partner organizations including NIFA, Spark, REACH, Omaha by Design and FHAS. If funded, we will approach them for continued involvement in this project. The first phase of the project included re-working the Land Bank’s property application process. Previously, this application only allowed us to assess the readiness of buyers who completed the application process. The new application allows us to see partially completed applications and identify where buyers are getting “stuck” to assist us in making the appropriate referrals to assist them in continuing their path towards development or homeownership. Key priorities for the next phase of the project include connecting the One-Stop with REACH’s Contractor-Fit platform. This platform helps perspective builders connect with small and minority contractors that have the necessary skills to work on development projects. Connection to this program will help ensure that projects on Land Bank lots utilize small contractors wherever possible, and will help ensure the long-term economic impact of this project. Additional priority tasks include matching Land Bank lots with Omaha by Design’s guidebook, Affordable by Design. This will help buyers identify what size of house can be placed on a lot their interested in. Another key element is connecting to lending resources. Through key partners like FHAS and Spark, we will be able to assist the buyer applicant in having the appropriate information to secure financing, but also, and perhaps more importantly, identify the type of financing that they need to secure and direct them to the appropriate resource immediately. The current system for purchasing Land Bank properties puts a significant burden on the purchaser, and requires an applicant to understand the technical nature to developing a property such as finding financial resources to fund the redevelopment or the proper steps to obtaining required permits to conduct construction. The One-Stop will transfer this burden to the Land Bank and our partner staff, as much as legally possible, by ensuring that we are making qualified referrals and that partners are following up, leading to greater success in developing Land Bank properties. The budget provided represents a range of the cost for the full-build out of the project, and the Land Bank is requesting full funding. If the project comes in at the low end of this range, extra funding will be used for outreach and to support buyer-technical assistance.
• The projected timeline for the full development of the One-Stop Shop would take about 1.5 years. • Significant Milestones: o Funding Awarded and Received o Complete development of One-Stop Shop website: 39 weeks o Engineering Leadership: 3.5 weeks o Quality Assurance, Testing, and Deployment of website: 8.6 weeks o Project Management, Customer Communication, Status Reports: 2.6 weeks o Meetings/Collaborative Planning to train OMLB staff: 3.7 weeks
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Fundamental Change (i.e., a proposal that will continue to elevate North or South Omaha's presence and perception within the region, significantly improving the lives of area residents through physical development) Long-Lasting Economic Growth (i.e., a proposal that will foster gainful employment opportunities and financial investment in the area, leading to the creation of generational wealth and widespread economic vitality in North and South Omaha) Transformational (i.e., a proposal that will help energize, recharge, or spur significant and favorable advancements in North or South Omaha's function or appearance)
Sustainable Community (i.e., create or enhance housing, services, education, civic uses, recreation, etc.)
This project directly aligns with LB 1024’s initiatives and goals to create transformational and fundamental change by increasing opportunities for community members and individuals of all socioeconomic backgrounds to build generational wealth through the purchase and development of properties. By partnering with local nonprofits to create a web-based platform, the OMLB will expand its abilities to provide comprehensive services to both homebuyers and emerging entrepreneurs while simultaneously enhancing the services of partner nonprofits to do so as well. The project would support capacity building at multiple nonprofits by offering a centralized service that minimizes future costs associated with educational assistance and public outreach. Streamlining and centralizing real estate development resources also strengthens the entrepreneurial ecosystem by increasing support systems for new developers and reducing barriers to becoming an entrepreneur in the real estate field. Ultimately, this platform allows multiple community development nonprofits in the Omaha metropolitan area to better serve affordable homebuyers and emerging entrepreneurs to expand innovation, affordability and success in future real estate projects.
The proposal aligns with the Vision Workshop Findings that emphasize the need to access tools to leverage community resources. The proposed web-based platform will include resources from organizations that specialize in different aspects of real estate development, ranging from affordable housing education to financial support services, as well as connections to professional networks and associations to further grow the talent of emerging developers. Ultimately, the platform will connect homebuyers with emerging developers and the resources to build a house all to directly hire professionals that will assist them in navigating a complicated development process from a centralized and simplified process on the OMLB’s website. In the long run, this platform will foster an inclusive entrepreneurial environment for tech-enabled real estate development in Omaha while supporting end-user homeowners. Specifically, our project will prop up the housing sector, creating a win for everyone involved.
This proposal aligns with LB1024’s strategic priorities to provide assistance for communities and neighborhoods in qualified census tracts. The U.S Department of Housing and Urban Development (HUD)defines Qualified Census Tracts (QCT) as areas in which 50% or more of the households are income eligible or have an income less than 60% of the area median gross income. According to the North Omaha Recovery Plan, North Omaha consists of 24 QCTS, making it an area with one of the highest rates of low-income households. Over 90% of the Land Bank’s vacant properties are located in North and South Omaha neighborhoods—areas predominantly comprised of minority, low-income, and disadvantaged communities impacted by historical redlining. There is a pressing need to bridge the gap between community members and their opportunity to invest in property to build generational wealth, especially those of underrepresented communities. Studies have shown significant differences in homeownership rates based on a population’s income, racial, and ethnic status. In 2006, studies show the homeownership rate of African Americans and Hispanics were below 60 percent (Haurin, et. al., 2007). By creating an online comprehensive resource center, this proposal will aim to increase opportunities to homeownership for individuals of all backgrounds and socioeconomic statuses.
The Land Bank has hired and is currently working closely with a software engineering firm to create and begin the preliminary development phase of the One-Stop Shop website. It is expected that we will continue working with this firm throughout the duration of this project. The Land Bank currently has sufficient internal staff to oversee the operations of the One-Stop website after its completion. At present, we do not anticipate needing any additional staff to manage the project.
0
0
The Land Bank does not anticipate creating additional employment opportunities for this proposal. Our marketing, website and data operations are all managed internally and will remain the same throughout the duration of this project. The development of the One-Stop Shop website will be conducted by Don’t Panic Labs, a software engineering firm that the Land Bank has worked with since 2020. According to Indeed, a software engineer in Omaha makes an average annual salary of $90,607. A marketing specialist in Omaha makes an annual average salary of $48,029.
It is not expected that this proposal will generate more job opportunities. However, the completion of this proposal will provide immediate and ongoing opportunities for businesses in the Qualified Census Tracts. The One Stop will provide a centralized, comprehensive, online resource center for individuals seeking to develop and build homes on Land Bank property, primarily in North Omaha. Over 90% of the Land Bank’s vacant lots are located in North and South Omaha neighborhoods—areas with some of the highest rates of vacant properties, qualified census tracts, and underserved populations. Providing this online resource will give businesses, contractors, and individuals of all socioeconomic statuses the opportunity to build generational wealth by investing and developing properties.
The Land Bank plays an important role in catalyzing local real estate development and values providing equitable opportunities for all community members to engage in real estate development. Real estate development requires substantial knowledge and experience that is not easily accessible to many first-time homebuyers or emerging developers. Many community members and local residents interested in purchasing and developing Land Bank properties in their neighborhoods do not have the resources and experience to fully develop a property. As a result, the Land Bank’s properties, which are primarily located in North and South Omaha neighborhoods, either remain vacant and undeveloped for years. Providing a comprehensive, online, resource center will give any interested buyer the financial and educational resources necessary to purchase a property and complete their redevelopment plans. This would lead to an increase in the development of vacant properties in underinvested areas, an increase in opportunities for generational wealth building, and increased livability in North and South Omaha neighborhoods.
This proposed web-based tool will include a variety of resources that will range from educational resources on affordable housing to providing financial support services. This all-in-one inclusive online resource center aims to give individuals from all backgrounds and communities an equal opportunity to invest in property and build generational wealth. The Land Bank also plans on implementing updates to its current website to allow for a more user-friendly experience for the public and prospective buyers. Success of this project will be measured through demographic surveys and an analysis of the number of participants. The number of buyers and the demographics of participants will be compared to that of previous years to determine the overall success of the project. The goal is to see an increase in the number of buyers, developers and entrepreneurs from low-income and minority groups.
Through internal assessments aimed at understanding the barriers to purchasing OMLB properties, we found that the majority of our properties were being sold to investors or individuals with a background in construction. In 2021, nearly 40% of properties were sold to investors, developers, or housing development nonprofit organizations. The necessary education and financial resources needed to purchase land and build a home is not easily accessible to the general public. By leveraging partnerships with community-based organizations like Spark, NIFA, FHAS, Holy Name Housing, REACH, and the Department of Economic Development, we will be able to share resources from each of our partners and refer clients to the appropriate organizations. The One-Stop Shop will allow members of the community, specifically emerging developers and underrepresented entrepreneurs, to access all the resources needed to carry out a construction project after purchasing a property from the Land Bank. We are in the process of slowly enhancing our website, we expect to have the One-Stop Shop fully launched by next year, but for a successful launch we will need to secure additional funding – funding which we are actively pursuing, including this application.
Success will be measured by the following outcomes: • Creation and launch of the One-Stop Shop website • Accessible financial and educational resources made available to prospective applicants/buyers • Engagement of at least 20% of applicants who identify as minority entrepreneurs • Engagement with at least 60 potential applicants who reside in a historically redlined area or an area with 80% AMI as defined by the U.S. Department of Housing and Urban Development.
The aforementioned outcomes will be measured by the Land Bank staff and the software engineering company hired to complete the development of the One-Stop Shop. The primary goal of this project is to develop a web-based platform that connects buyers and applicants with the financial and educational resources to carry out new home construction projects. Success will be measured by the creation of the platform as well as the number of nonprofits and resources that are available on the platform. We aim to have a minimum of four partner organizations that provide a variety of resources at the time of launching the platform. Partners that were initially involved in creating the vision were Spark, REACH, and Family Housing Advisory Services (FHAS). Spark leads a Developer’s Academy that builds capacity for small real estate developers to grow their business. REACH is a program of the Greater Omaha Chamber that supports small and emerging construction businesses. FHAS is focused on homebuyer education and lending. We are working to finalize these partnerships and identify additional strategic partners, specifically pursuing a second financing partner. The second goal of this project focuses specifically on the engagement of minority entrepreneurs, including Black, Indigenous, People of Color (BIPOC), female, and low-income developers. Success will be measured using a demographics survey on the platform as well as overall community engagement with the OMLB. We aim to have at least 20% of applicants identify as women and/or minority entrepreneurs within the first six months of implementation. The final goal of this project is to identify potential homebuyers for properties owned by the OMLB. Utilizing past applicant information and internal assessments, we will identify 60 low to moderate income individuals, primarily residents of North and South Omaha neighborhoods, interested in purchasing a Land Bank property to build a home. Our goal would be to connect them with the resources that will put them on the path towards homeownership within 6 months of the launch of our website.
Yes. The platform will connect buyers with the resources needed to build a home. When someone is connected to a vendor or contractor on our platform, they will purchase services. In this way the platform serves as a catalyst for secondary investment.
Yes
This vision was created with assistance from partner organizations including NIFA, Spark, REACH, Omaha by Design and FHAS. If funded, we will approach them for continued involvement in this project.
No
This proposal involves the development of an online web-based tool that will be made available through the Omaha Land Bank’s website. Most of the properties listed on this portal will be in the Qualified Census Tracts located in North and South Omaha.
Neither within or adjacent to the QCTs
No
No
No
No
No
No
Since 2020, the Land Bank has worked with Don’t Panic Labs, a software engineering firm. The presented budged is based on the completion of the preliminary implementation of the One-Stop Shop website, which is estimated to take at least 1.5 years to complete. The attached budge represents an accurate total for the completion of this project.
LB 1024 grant funds will be used to support this proposal by providing financial assistance to complete the overall development and launch of the Land Bank’s One-Stop Shop website. A description of what this development entails is included in the budget. The attached budget represents a range, and the Land Bank is requesting funds for the highest amount of this range. Any additional funds received will be spent on marketing and community engagement to promote the use of the One-Stop, and to provide technical assistance during the property application process.
No
Once complete, the One-Stop Shop will require web hosting fees and general maintenance. Funding needed for the post-development phase can be incorporated in the Land Bank’s general operating budget. Additionally, the One-Stop is being designed as a white box, an e-commerce platform that will offer licensing options to other organizations. If successfully completed, the One-Stop Shop website could potentially generate income for continued technological improvements.
No
This proposal is scalable. The project was designed to be completed in smaller components or phases as funding becomes available.
1. Plan Selection and Contractor Matching (3 months) a. Salesforce b. API Creation c. Partner API Integration d. Process Workflow 2. Financing Integration (3 months) a. Salesforce b. Partner API Integrations c. Process Workflow 3. City Planning Support (2 months) a. Salesforce b. Process Workflow c. Potential Partner API Integration 4. Mobile (2 months) a. Mobile user experience
This proposal can be completed with the existing Land Bank staff. An expected income of $10,000 per year from the Land Bank’s budget can be invested to web hosting and technological improvements needed.
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Organizational Chart Pro Forma Proposal Budget/Sources and Uses