Hacienda CDC Overcomes Complex Funding and Tight Deadlines on Affordable Housing Project

About Hacienda CDC

Hacienda CDC was founded in 1992 to provide housing and supportive services, with a focus on Portland’s Latino community. Today, it is one of Oregon’s largest Latino-led organizations, dedicated to advancing the social and economic mobility of all communities, including through its 11 affordable housing communities across the state. 

About the El Nido Property

El Nido will offer 55 affordable units—1, 2, and 3-bedroom apartments—designed for multigenerational living, with 20 units reserved for households earning 30% AMI. The project is pursuing Earth Advantage Multifamily Gold Certification, with sustainability features like solar arrays and EV charging station readiness.

For its residents, El Nido will offer pivotal educational support and economic opportunities. Located near downtown Lake Oswego – one of the region’s most affluent communities – it challenges the norm of where affordable housing is typically built and redefines outdated perceptions of what affordable housing can be. 

With pressure to finalize a complex funding stack, Hacienda CDC secured primary support from LIHTC (from OHCS), Metro, and others, but still needed a construction-to-permanent loan to complete the project. This vital component helps properties maintain long-term stability. Beneficial State Bank, alongside Banner Bank, stepped in to provide the needed financing for El Nido.  

This partnership grew from a longstanding relationship with Charlie Te, Hacienda CDC’s Client and Treasury Manager at Beneficial State Bank, and began with the refinancing of two properties: the Baltazar F. Ortiz Center and Villa De Sueños. Over time, it expanded into larger collaborations, including the Dolores LIHTC project and, most recently, El Nido. 

“Hearing how Beneficial had previously tackled problems for us, we knew it was a group we needed to tap again," says Brian Shelton-Kelley, Hacienda CDC’s Real-Estate Development Director.

With limited room for extra costs, banking expenses had to be carefully managed. Beneficial State Bank’s affordable housing loan products are intentionally designed to keep costs economical for our clients. This reflects our structure as a triple bottom line bank, meaning we’re committed to responsibly balancing profit with the well-being of people and the planet. “Those savings can go back into the project, or to other projects or programs," explains Judy Silke, Beneficial State Bank’s Relationship Manager for Hacienda CDC.

We support clients like Hacienda CDC by helping them identify additional resources and make meaningful connections when we can. In this case, we awarded Hacienda CDC a $24,000 Preservation Grant to help rebuild a community garden at its Los Jardines de la Paz property. While we can't offer grant funding to every client, we recognize the impact flexible grant dollars have for nonprofits operating on tight margins. We provide support and tap into our network of like-minded partners to help match projects with additional resources whenever possible. 

Brian says, “Judy's team brings us additional opportunities based on our needs. Being an up-and-coming affordable housing developer, we don't often have time to do that research unless it's imminent. It’s great to have someone on the other side looking out for us.” 

When Hacienda CDC turned to Beneficial State Bank for construction-to-permanent financing, the process was supported by a strong internal team. Judy, Charlie, and the full Beneficial State Bank affordable housing team worked closely to keep underwriting and the target closing aligned, especially as the project faced tight deadlines related to school board approvals and a critical property tax exemption. Our cross-team collaboration and strong client relationships, rooted in a community banking approach, helped us efficiently manage things during crunch time. 

“When we were looking for a construction-to-permanent lender, we leaned back on relationships—on the people that we know are going to have our back," says Brian.

Affordable housing projects are fluid and complex, requiring deep expertise and steady guidance. With over 30 years in lending, including eight dedicated to affordable housing and nonprofits, Judy and the team were prepared for shifting conditions, layered funding structures, and the evolving community needs that came with El Nido. We’re built for affordable housing financing, and we’re equipped to handle the complexity that comes with it. 

“Whenever we hit rough water, we needed to instill confidence in the project," says Brian. "What was great about working with Judy, Matt, Fernando, and everyone was that they’d say, ‘Yep, there’s always something unexpected, and we know you’ll get through it.’ And we did. It's that confidence that means a lot." 

Approval was needed from the city and school board to secure a crucial tax exemption for El Nido, but initial community outreach was met with resistance from neighbors concerned about the project’s impact. Beneficial State Bank supported Hacienda CDC’s advocacy efforts, attending public meetings and engaging local leaders. 

“The Beneficial team was able to sit in the General Assembly with us when we were making our pitch and advocating for our project—very cool to see," says Brian. "Usually, when there's buy-in, those people don't show up. But we really need people who are willing to go to public events and show their support.” 

For Hacienda CDC, partnering with a bank that shares its commitment to community transformation, equitable futures, and shared prosperity added meaningful depth. Affordable housing is central to our mission, as is supporting minority-led developers like Hacienda CDC and its El Nido partner, Colas Construction, who represent communities that remain significantly underrepresented in the development space.  

At the heart of this impact-driven approach is our team. For Judy, who has lived experience with affordable housing, the work is rooted in a desire to help others access the same sense of stability that shaped her own life.  

Our banking model enables clients to expand their impact: deposits are leveraged to create more affordable housing loans rather than diverted to counterproductive industries like private prisons. Like compound interest, this creates compound impact – a win-win for communities and the mission we share. 

Today, Hacienda CDC’s affordable properties support over 2,400 residents. By the end of 2026, El Nido will grow that number even further, giving its residents new opportunities that may have previously been out of reach simply because of their zip code. Research consistently shows that access to neighborhoods with abundant resources is a strong predictor of economic mobility for young people, underscoring the importance of properties like El Nido.  

As affordability challenges persist across Oregon, projects like El Nido offer a redeeming step forward and lasting impact for families who find refuge inside.  We’re proud to have played a role in the coalition of community players who helped bring El Nido to life.