FHLBank Chicago Opens Applications for $3 Million Community First® Developer Program to Strengthen Affordable Housing Workforce
The Federal Home Loan Bank of Chicago (FHLBank Chicago) has officially opened applications for its 2026 Community First® Developer Program, a grant initiative designed to strengthen the affordable housing workforce by supporting organizations that train and develop future housing professionals across Illinois and Wisconsin. The program reflects the bank’s continued commitment to addressing housing affordability challenges by investing not only in affordable housing projects but also in the people and organizations responsible for bringing those developments to life.
For the 2026 funding cycle, FHLBank Chicago will make up to $3 million available through its member financial institutions to eligible organizations. Individual grant awards will range from $50,000 to $200,000, with applications remaining open through July 31, 2026.
The Developer Program aims to expand career pathways into affordable housing development while helping organizations build the workforce needed to increase housing supply, manage increasingly complex development projects, and support communities facing persistent affordability challenges.
Investing in the Future of Affordable Housing
Affordable housing remains one of the most significant challenges facing communities throughout the United States. Rising construction costs, increasing demand, limited housing inventory, labor shortages, and financing constraints have all contributed to a widening gap between housing supply and the needs of low- and moderate-income households.
While financing affordable housing developments is an important component of addressing these challenges, industry leaders increasingly recognize that long-term success also depends on developing a skilled workforce capable of planning, financing, constructing, and managing affordable housing projects.
FHLBank Chicago’s Community First® Developer Program addresses this need by investing directly in organizations that provide practical training opportunities for emerging professionals entering the affordable housing sector.
Rather than focusing exclusively on project financing, the initiative supports the development of future housing leaders who will help expand affordable housing capacity across the region for years to come.
Addressing Workforce Needs Across Illinois and Wisconsin
The Developer Program serves organizations operating throughout FHLBank Chicago’s district, which includes Illinois and Wisconsin.
Communities across both states continue to experience growing demand for affordable housing driven by factors such as:
- Population growth in certain metropolitan areas
- Rising home prices
- Higher rental costs
- Limited housing inventory
- Increased construction expenses
- Workforce housing shortages
Meeting these challenges requires experienced professionals with expertise in:
- Real estate development
- Affordable housing finance
- Community planning
- Construction management
- Property management
- Regulatory compliance
- Public-private partnerships
By supporting internships, fellowships, and workforce development initiatives, FHLBank Chicago seeks to strengthen the pipeline of professionals entering these specialized fields.
Up to $3 Million Available in 2026
For the 2026 funding cycle, FHLBank Chicago will provide up to $3 million in grant funding through eligible member financial institutions.
The grants will be distributed to qualified organizations that demonstrate their ability to provide meaningful educational and professional development opportunities within the affordable housing industry.
Individual awards will range between $50,000 and $200,000, allowing organizations of varying sizes to participate based on their workforce development plans and program capacity.
Applications will be accepted until July 31, 2026, giving interested organizations several weeks to prepare proposals outlining how grant funding will support future affordable housing professionals.
Grants Delivered Through Member Institutions
As part of the Federal Home Loan Bank System, FHLBank Chicago operates through a network of member financial institutions.
Under the Community First® Developer Program, eligible organizations submit applications with sponsorship from participating FHLBank Chicago members.
Each member institution may sponsor:
- Up to three applications
- Combined funding requests totaling no more than $600,000
This structure strengthens collaboration between financial institutions and community organizations while ensuring local banking partners remain actively involved in supporting regional affordable housing initiatives.
The member-based model also helps align grant funding with local housing priorities and community development objectives.
Building Capacity Across the Affordable Housing Industry
Katie Naftzger, Senior Vice President and Community Investment Officer at FHLBank Chicago, emphasized that increasing housing supply depends not only on financial investment but also on cultivating a skilled workforce capable of meeting growing development demands.
According to Naftzger, expanding organizational capacity and strengthening the pipeline of future affordable housing professionals are essential components of addressing long-term housing affordability challenges.
She noted that the Developer Program helps participating organizations prepare the next generation of industry leaders while advancing affordable housing initiatives throughout FHLBank Chicago’s district.
Her comments reflect a broader recognition within the housing industry that workforce development has become a strategic priority alongside project financing and policy reform.
Strong Growth Since Launch
Since its introduction in 2022, the Community First® Developer Program has expanded significantly.
Over its first several years, the initiative has awarded approximately $12 million in grants supporting affordable housing workforce development throughout Illinois and Wisconsin.
Those investments have helped fund:
- More than 200 internships
- Fellowship opportunities
- Hands-on development training
- Professional mentorship experiences
The program’s steady expansion demonstrates growing interest among nonprofit organizations, private developers, and community development organizations seeking to strengthen their talent pipelines.
It also reflects FHLBank Chicago’s continued investment in workforce development as a complement to its broader affordable housing financing programs.
Significant Impact in 2025
The program achieved another milestone during the 2025 funding cycle.
FHLBank Chicago awarded approximately $5.9 million to 28 organizations, supporting more than 100 internships and fellowships.
These opportunities allowed emerging professionals to gain practical experience working alongside experienced affordable housing developers while contributing directly to housing projects serving communities throughout Illinois and Wisconsin.
Internships and fellowships supported by the program often expose participants to multiple aspects of affordable housing development, including:
- Project planning
- Site acquisition
- Financing strategies
- Construction oversight
- Community engagement
- Regulatory compliance
- Asset management
Such experiences help prepare participants for long-term careers within the affordable housing industry.
Real-World Experience Matters
One of the distinguishing features of the Community First® Developer Program is its emphasis on practical learning.
Rather than focusing solely on classroom education or theoretical instruction, grant funding supports real-world development experience through internships and fellowships embedded within active affordable housing organizations.
Participants gain firsthand exposure to the complexities of affordable housing development while working on projects that directly benefit local communities.
This experiential learning model helps bridge the gap between academic preparation and professional practice.
It also enables organizations to cultivate future employees familiar with the unique financial, regulatory, and operational requirements of affordable housing development.
Developer Perspective
Ariam Kesete, Founder of AK Development, highlighted the value the program brings to organizations engaged in affordable housing development.
According to Kesete, grant funding enables organizations to invest in future housing leaders while simultaneously expanding their own capacity to deliver affordable housing projects.
Providing interns and fellows with practical development experience not only strengthens the future workforce but also enhances an organization’s ability to meet current community housing needs.
This dual benefit illustrates how workforce investments can generate both immediate operational improvements and long-term industry growth.
Financial Institutions Play an Important Role
Financial institutions participating as FHLBank Chicago members also contribute significantly to the program’s success.
Heather Nelson, President and Chief Executive Officer of Spring Bank, noted that the Developer Program creates meaningful connections between funding resources and organizations working to address housing shortages within their communities.
She emphasized the importance of partnerships between financial institutions and community organizations in supporting the next generation of affordable housing professionals.
By sponsoring grant applications, member institutions help extend the reach of workforce development investments while strengthening relationships with organizations dedicated to community development.
Community Investment Advisory Council Helped Shape the Program
The Community First® Developer Program was developed with guidance from FHLBank Chicago’s Community Investment Advisory Council.
The council provides input regarding community development priorities throughout the district and helps identify innovative approaches to addressing housing and economic development challenges.
Its recommendations contributed to the creation of a workforce-focused initiative intended to expand career opportunities while strengthening organizational capacity within the affordable housing sector.
The collaborative development process helped ensure that the program responds to actual workforce needs identified by housing professionals and community organizations.
Supporting Internships and Fellowships
Grant funding awarded through the Developer Program supports a variety of workforce development activities.
Eligible expenses include:
- Internship compensation
- Fellowship stipends
- Related program costs
- Professional training
- Hands-on development experience
- Workforce development initiatives
Providing financial support for compensation helps organizations attract talented individuals who may otherwise face financial barriers to participating in internship or fellowship programs.
Paid experiential learning opportunities also promote greater accessibility and diversity within the affordable housing profession.
Eligible Organizations
A wide range of organizations involved in affordable housing may participate in the Developer Program.
Eligible applicants include:
- Nonprofit affordable housing developers
- For-profit housing developers
- Organizations promoting affordable housing careers
- Community development organizations
- Workforce development organizations involved in housing initiatives
This broad eligibility framework allows the program to support workforce development across multiple segments of the affordable housing ecosystem.
Organizations with varying missions and operational models can participate provided they demonstrate meaningful opportunities for developing future housing professionals.
The opening of applications for the 2026 Community First® Developer Program reinforces FHLBank Chicago’s long-term commitment to addressing affordable housing challenges through strategic workforce development. While increasing access to financing remains essential for expanding affordable housing supply, the bank recognizes that lasting progress also depends on cultivating skilled professionals capable of leading future development efforts.
By making up to $3 million available in grants, supporting internships and fellowships, and partnering with financial institutions, nonprofit organizations, and private developers, the program continues to strengthen the affordable housing talent pipeline across Illinois and Wisconsin. As housing affordability remains a critical issue for many communities, investments in workforce development are expected to play an increasingly important role in ensuring that the next generation of affordable housing leaders possesses the knowledge, experience, and practical skills needed to deliver sustainable housing solutions for years to come.
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