The Promise Homes Company has launched a pilot program aimed at giving minority entrepreneurs a shot at becoming real estate developers.
The idea for the Minority Developer Program was hatched at this year’s InvestFest – the annual, three-day financial empowerment festival created by the founders of Earn Your Leisure. Promise Homes Founder and Executive Chairman John Hope Bryant offered the event’s 20,000 attendees the opportunity to apply for a chance to rehab and renovate one of its properties and share in the profits after the property is sold.
Hundreds of submissions were received by the close of the submission period on September 8, 2023, and two finalists will be selected in the coming weeks.
Candidates submitted a proposal outlining how they would rehab, renovate, and sell one of two Promise Homes properties that are currently vacant and in need of repair prior to occupancy. With Promise Homes providing the property, the selected candidate will have the opportunity to split the profits from the sale of the home 50%-50%, if they put up the sweat equity and funds for the rehab of the property. If they only put up sweat equity, Promise Homes will fund the rehab and give the winner 20% of the profit after the sale of the home. The selected candidate will be able to put their own developer sign in front of the property and market themselves as an owner in the joint venture.
Promise Homes’ Minority Developer Program pilot is part of the company’s commitment to building and supporting minority businesses and entrepreneurs and is an outgrowth of its Minority Vendor Program, which contracts with local, minority- and women-owned businesses for repair, maintenance and turn jobs for the 600+ homes in the Promise Homes portfolio.
“We are thrilled with the excitement for the launch of our Minority Developer Program. With hundreds of submissions received, there is real enthusiasm for the opportunity for aspiring developers/owners to build their resume, improve one of our properties for the benefit of the surrounding community and realize a real economic gain from the sale of the home,” said Mr. Bryant. “With Promise Homes’ free resident financial support programming and ever-growing Minority Vendor Program, this new program is another way we are demonstrating how we can support social justice through an economic lens.”