ImpactAlpha, September 12 – Having started with $100 million in Detroit in the aftermath of the city’s financial crisis, JPMorgan has doubled down on the Motor City and expanded its philanthropic city investment initiative to Chicago, Washington, D.C. Now JPMorgan’s philanthropic arm is adding as many as 30 more cities.
A new $500 million fund, which is open to bids, will build on the bank’s Detroit model, offering a mix of grants and low-interest loans to cities “committed to improving economic mobility [and] implementing measurable strategies for generating inclusive growth,” the Financial Times reports. The planned five-year funding will focus on city neighborhoods and demographics that traditionally struggle accessing financing, as the bank is doing with its Entrepreneurs of Color fund in Detroit, Chicago, New York and San Francisco.
JPMorgan will accept proposals from municipalities through November, and will announce winners in the spring. The bank hopes its commitment will seed an additional $1 billion from other investors.