because we are here...

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2 M ERCY H OUSING A NNUAL R EPORT 2 01 0 ANNUAL REPORT 2010 Mission & Vision

V ISION : Table of Contents Mercy Housing is working to create a more humane world where poverty is Letter to our supporters...... 2 alleviated, communities are healthy and all people can develop their full potential. Building foundations in 2010 and 2011...... 4 We believe that affordable housing and Mercy Housing Board of Trustees, Co-Sponsors and National Donors...... 6 supportive programs improve the Mercy Housing California economic status of residents, transform Opening the door to new possibilities...... 9 neighborhoods and stabilize lives. California Donors...... 12 Mercy Housing Lakefront M ISSION : Breaking the cycle...... 16 To create stable, vibrant and healthy Lakefront Donors ...... 19 communities by developing, financing Mercy Housing Mountain Plains and operating affordable, program- Commitment to service...... 22 enriched housing for families, seniors Mountain Plains Donors...... 25 and people with special needs who lack Mercy Housing Northwest the economic resources to access quality, New opportunities in the Northwest...... 28 safe housing opportunities. Northwest Donors...... 30 Mercy Housing Southeast Graphic Design and Art Direction: Grindstone Graphic Studio, Inc. A new life for an old community ...... 34 Southeast Donors ...... 36 Mercy Loan Fund Photography: This report features original images taken specifically Mercy Loan Fund celebrates 25 years ...... 38 for Mercy Housing Mercy Loan Fund Borrowers, Investors and Donors ...... 40 Photography by Chris Schneider Mercy Portfolio Services Making the dream of homeownership a reality...... 44 Additional Photography by Mercy Housing staff, Michael Resident Services O’Callahan, Bridgette Sullivan, Mitch Bowers Measuring our impact and strengthening partnerships ...... 46

For more information, please contact [email protected] Cover: Eliza McCabe Apartments in Tacoma, WA Inside Cover: Holly Park Apartments in Commerce City, CO Printed using recycled papers. FSC Logo identifies products which contain wood from well managed forests certified in accordance with the rules of the Forest Stewardship Council.

The mark of responsible forestry 1 SW-COC-002470 ©1996 ForestF.P.O Stewardship Council A.G. ANNUAL REPORT 2010 Because we are here … people live in hope

For nearly 30 years, Mercy Housing has demonstrated duration and impact through quality, service-enriched affordable housing. As we reflect on our accomplishments in 2010, we also reflect on the accomplishments of our partners, supporters, volunteers and our residents. Our annual report theme is “Because We Are Here…” and the “We” doesn’t just refer to Mercy Housing. The “We” is everyone who is working to build and strengthen communities.

2010 was the first year of our new strategic plan and we made great strides to position ourselves for the next few years and beyond. In 2010, the organization focused on our infrastructure, operational systems and business fundamentals to ensure the long-term financial stability of Mercy Housing and to build the foundation for growth. While we are working to add even more affordable homes to our portfolio, we are also determined to preserve the stock of existing affordable housing and ensure Mercy Housing’s existing properties are sustainable. We are also constantly working to maintain and enhance the quality of housing for which Mercy Housing is known. We are developing innovative new solutions to help close the gap between the supply and demand for affordable housing. We are streamlining our resident services programs to better serve our residents.

The need for affordable housing continues to grow. The people we serve continue to face challenges brought on by the troubled economy. There has been little change to the unemployment rate - 2010 ended with an unemployment rate of 9.4 percent with 14.5 million people struggling to find work. The rate of poverty continues to climb and is now at 14.3 percent, which means that 43.6 million people are living in poverty – the largest number of people in poverty in the 51 years that poverty estimates have been published. The staggering numbers remind us of the enormity of the housing crisis and how crucial it is to collaborate, form lasting partnerships and work together to help the millions of families, seniors and individuals in need of a quality affordable home in a community to call their own. We simply can’t do it alone.

Thank you for supporting our mission to create stable, vibrant and healthy communities. With your support, affordable housing is a tool we use to build something greater: HOPE. And because together we were here, opportunities have been created for thousands of people to live in hope.

Live in Hope,

Sister Lillian Murphy, RSM Bradley B. James CEO, Mercy Housing Chair, Mercy Housing Board of Trustees

2 M ERCY H OUSING A NNUAL R EPORT 2 01 0 vibrant, healthy communities are created

… BECAUSEWEAREHERE . 9% Special Needs/ Transitional Building foundations in 2010 and 2011

2010 marked the first year of Mercy Housing’s new five-year Strategic Plan. For the first two years of the Strategic Plan 18% Seniors Mercy Housing has been focused on building the foundations needed in order to achieve the bold goal of closing the gap between the supply and demand for affordable housing. During 2010 and 2011, it is critical to build the appropriate 73% Families infrastructure of processes, tools and systems to support current operations and future growth. Our Residents Our In 2010 Mercy Housing made significant progress towards the strategic goals outlined in the plan which include operating excellence and long-term stability; stewardship of our existing property portfolio; to provide results-oriented and cost- effective Resident Services; growth; health care and housing affiliations; and public policy education and advocacy. 16% Special Needs Properties 2010 Highlights: • Mercy Housing has participated in the development, operation, preservation and/or financing of more than 39,400 affordable homes serving more than 135,000 people on any given day. These numbers include what Mercy 53% Housing has developed, the lending activities of Mercy Loan Fund and the foreclosure rehabilitation activities of 31% Family Mercy Portfolio Services. Senior Properties Properties • During Mercy Housing’s history we have developed, financed or provided consulting services for more than $2.2 billion in affordable housing real estate. Our Properties Our Our Properties • In our work toward closing the gap between the demand and availability of affordable housing, we acquired or completed the development or rehab of 11 properties totaling 1,259 affordable homes. • Through the lending activities of Mercy Loan Fund, we awarded 11 loans to other non-profit and for-profit affordable housing developers resulting in 769 units of affordable housing benefiting more than 1,600 people in nine states. These loans leveraged more than $69 million in total development funding. Mercy Loan Fund also closed our first New Markets Tax Credit “healthy communities” deal helping the expansion of a non-profit hospital in Mississippi through the development of an orthopedic clinic. • Mercy Services Corporation, the property management subsidiary of Mercy Housing, changed their name to Mercy Housing Management Group to better align with the Mercy Housing brand. Mercy Housing Management Group (MHM) continued to develop and maintain operational excellence standards at the 16,514 affordable homes included in the management portfolio and implemented new systems to increase efficiency and reduce expenses. The high-quality properties managed by MHM consistently maintain an occupancy rate of more than 95 percent. The MHM managed portfolio has increased in size by 39 percent in the past five years, approximately 11 percent of which is fee managed for third-party owners.

4 M ERCY H OUSING A NNUAL R EPORT 2 01 0 • Throughout 2010 Mercy Portfolio Services (MPS) assisted communities across the U.S. to address the economic and housing crises through the purchase, redevelopment and resale of foreclosed and vacant homes at affordable prices. In 2009 and 2010, as part of the City of Chicago’s $169 million Neighborhood Stabilization Program, MPS acquired and facilitated the rehabilitation of more than 500 units of foreclosed properties across 22 Chicago Since 1981: neighborhoods. This work creates new units of affordable housing as well as new jobs, while stabilizing home values and neighborhoods. In addition to their work in Chicago, MPS is developing new tools that support other metropolitan regions facing the effects of the foreclosure crisis. • Mercy Housing continues to refine impact measurement for our Resident Services. Key work was completed in 967 projects 2010 to streamline Resident Services programs into a cohesive Resident Service programming model that will enable us to more accurately track the impact we are having on residents’ lives. • Mercy Housing established our public policy education and advocacy priorities. Mercy Housing co-signed more than 30 letters to Congress and other government officials, testified on Capitol Hill about the reform needed to advance community development regulatory change and assisted in the passage of two key pieces of legislation for senior 39,400 and supportive housing. affordable units of housing • In 2010, Mercy Housing also made some key executive leadership changes to position the organization for the future and drive the efforts of the 2010 – 2014 Strategic Plan. Mercy Housing California President Jane Graf was promoted to Chief Operating Officer and Executive Vice President of Mercy Housing and we look forward to having her experience and expertise available to the entire organization as we move down the path to long-term sustainability. Brian Shuman resumed the role of President and Chief Financial Officer. We also welcomed Chris Burckhardt, our Chief Information Officer, who is overseeing the organization’s execution of the Strategic Plan. $2.2 billion in affordable real estate development 2011 will bring even more economic challenges than recent years. We will have to focus on enhancing the sustainability of our business by finding new ways to bring efficiencies to our infrastructure and by improving productivity and effectiveness through innovation. For Mercy Housing, innovation will mean introducing something new into our business. These innovative approaches and others will go a long way toward supporting the achievement of the goals outlined in our Strategic Plan. $197 million With your support and continued dedication to Mercy Housing, we will continue to respond to the growing need for in affordable housing lending affordable housing through financial strength, flexibility and an unwavering focus on achieving our mission. Our nearly 30-year history is just the beginning of a long-term plan to build foundations that will change the world one life and one home at a time. Mercy Housing’s audited financial statement for 2010 will be available online in Summer 2011 135,000 at mercyhousing.org.To receive a copy, please contact [email protected]. people served today To download Mercy Housing’s 2010 – 2014 Strategic Plan, visit mercyhousing.org/publications or contact [email protected].

5 Mercy Housing National Donors Mercy Housing Individuals Dr. Judith Auerbach 2 0 1 0 C O -S PONSORS Deirdre Bachman Mercy Housing Sister Carol Baetz RSM Jennifer Balkcom C O -S PONSOR C OMMUNITIES Richard & Susan Banks 2 0 1 0 B OARDOF T RUSTEES Daughters of Charity, East Central Dr. Ron Bard Alan & Elinor Berg Daughters of Charity, West Clifton & Gaylene Bergan Sister Norita Cooney, RSM, Sisters of Mercy, West Midwest Daughters of Charity, West Central Karen Blackman Adrienne Crowe, Retired Sisters of Bon Secours Michael Blaszyk & Leslie Wittmann Larry Dale,Vice Chair, Retired, Citi David Bley Sisters of Mercy, Northeast Michael Bodaken Sister Roslyn Hafertepe, SC, Sisters of Charity, Cincinnati Sisters of Mercy, South Central Mr. & Mrs. Alan Bowman Bradley B. James, Chair Sisters of Mercy, West Midwest Norrie Boyd Sister Rose Marie Jasinski, CBS, Sisters of Bon Secours William & Myrna Brandwein Sisters of St. Joseph of Orange Gail Bransteitter Barbara Kelley, Colorado Department of Regulatory Agencies Sisters of St. Joseph of Peace Carol Breslau Mark Korell, JPMorgan Chase Grace Buckley & Michael Marez Christopher & Rebecca Burckhardt Sister Pat McDermott, RSM, Sisters of Mercy M ERCY H OUSING S PONSOR C OUNCIL Steven Burge Roger Pastore, RCP Financial Group Sister Rose Ann Aguilar, DC, Daughters of Charity, West Central Lilia & Donald Cady Bob Simpson, Fannie Mae Brooke Caesar Sister Sharon Becker, CSJ, Sisters of St. Joseph of Orange Mark & Ingrid Carleton Rich Statuto, Bon Secours Health System Sister Norita Cooney, RSM, Sisters of Mercy, West Midwest Lynn Carnes Sister Linda Werthman, RSM, Sister Eleanor Gilmore, CSJP, Sisters of St. Joseph of Peace Cedric Caselle Sisters of Mercy of the Americas Sister Rose Marie Jasinski, CBS, Sisters of Bon Secours Ted & Julie Chandler Leslie Wittman, nTrustHR Anne & Charles Chapman Sister Ellen Kurtz, RSM, Sisters of Mercy, Northeast Judy D. Clarkson Barry Zigas, Zigas & Associates Sister Joanne Lappetito, RSM, Sisters of Mercy, South Central Luis & Maria Clavijo Mike Zoellner, RedPeak Properties Kevin & Liz Coldiron Sister Betty Marie Dunkel, DC, Daughters of Charity, West Sister Norita Cooney RSM Sister Mary Kay Tyrell, DC, Daughters of Charity, East Central Adrienne Crowe S PECIAL A DVISORSTOTHE B OARD Sheila Crowley Jack Burgis, Retired Ginny Cunningham M ERCY H OUSING C ORPORATE M EMBER G ROUP Jack Diepenbrock, Diepenbrock Harrison Myron & Mary Curzan Sister Norita Cooney, RSM, Sisters of Mercy, West Midwest Scott Dailard Jack Manning, Boston Capital Partners Sister Rose Marie Jasinski, CBS, Sisters of Bon Secours Larry & Marilyn Dale Susan Wang Wade, Retired, Solectron Corporation Joan Dearborn Sister Pat McDermott, RSM, Sisters of Mercy of the Americas Jyoti DeVernie Jack & Karen Diepenbrock

6 M ERCY H OUSING A NNUAL R EPORT 2 01 0 a community is thriving

… BECAUSEWEAREHERE . Mercy Housing National Donors CONTINUED

Vince & Susan Dodds Michele Mamet Scott Robbins Byron & Lee Stookey Delta Dental of Colorado Helen Dunlap John P. Manning Katy & Ryan Rogers Sister Mary Agnes Tamisiea RSM Doris Woolsey Foundation, Inc. Sister Genevieve Durcan Laura Manthey Amy Rowland Richard Vierk Equity Residential Foundation Charles & Susan Edson Jacqueline McAndrews Sister Mary Janet Rozzano Efrain & Flora Villa Fannie Mae Saul Epstein Dr. Breck McCarty Charles Sachs Judith & Joe Wagner Google Inc. James C. Esposito Sister Pat McDermott RSM David & Ann Sakai John Wallenhorst JPMorgan Chase Thomas & Tammi Fassett Patricia McGrath Juana Sanchez Sister Linda Werthman RSM Kaiser Permanente Employer Voice Barbara Faulhaber & Mark Hernandez Jean McKevitt Ann Schnare John & Ginger Whellock The Kerr Foundation, Inc. David & Sandra Freeberg Tim McKivergan Barbara J. Scully Matthew & Kimberley Zarlengo LibertyGives Foundation Kit Gage Robert & Patricia Merna Ellen Seidman Barry Zigas & Jodie Levin-Epstein Mile High United Way Tracy & Michele Gargaro Sister Kathryn Mershon Donald & Patricia Seitz Mike & Nancy Zoellner Preferred Professional Insurance Company Geralyn Gendill Giacomo & Irene Meschia Bill & Rebecca Senhauser Reznick Group, P.C. Laurie Gerdes Jason Miller Chris Shott Organizations Sisters of Mercy of the Americas, West Ivy Goetsch Diane & Michael Mills Melani Shulla Alegent Health Midwest Fran Gorsuch Susan M. Morgan Bob & Johanna Simpson Bank of America Charitable Foundation Sisters of Mercy, US Province Julia Gould Barbara Moses Paul E. Smith & Elizabeth Phelan Bon Secours Health System Sisters of St. Joseph of Orange Dennis & Judy Gunther Beth Mullen Joseph & Joyce Solomon Boston Capital Foundation Sisters of St. Louis Sister Roslyn Hafertepe SC Mary Nagelhout Debbi Stambaugh Chicago Title Insurance Company Sisters of the Most Precious Blood Jan Sidney Harband Shekar & Charu Narasimhan Jennifer & Richard Statuto The Community Foundation of Louisville Sisters of the Visitation Anne Hatcher Geraldine Naveau David L. Still Daughters of Charity, East Central Trinity Health Herbert & Joyce Hebein Donald Newsom Ursuline Sisters John & Lauren Hewitt Karol & Don Norie James & Mary Heyl Cheryll O'Bryan Mark & Maura Connerton Holmes Theodore & Sharon Olsen Katy Hulac Sister Geneva Paluka RSM Marsha Jackson Roger & Linda Pastore Brad & Carol James Tasha Patterson Sister Rose Marie Jasinski CBS Kirby & Dee Ann Patterson Teresa Kastl Kathryn A. Paul Barry Kelly Robert & Kathleen Pavlovich Raquel Kim Maureen Pavlovich Mark Korell & Jane Mayberry Kate Peterson Steve Krchniak Karl & Rita Pister Robert & Pam Krotz Xavier & Penelope Pi-Sunyer Celine Kuntz Melinda Pollack & Tony Frank Carolina Kurdi Tom Ramey Deborah Langerud Laura Ramzy Jeanne A. Laurent Jennifer & Jay Reed Linda S. Levy Jerry & Janice Reed Pat Loewi Maynard Richmeier Sandra D. Maben John & Doris Riehm

8 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Housing California Opening the door to new possibilities

At the age of 66, Beverly Brumfield became homeless for the first time in her life.

Beverly, a life-long resident of the San Francisco Bay Area, left home when she was 17 and immediately went to work as a secretary. Throughout the years, she has had corporate jobs, worked at universities, and even started her own businesses.

After her mother passed away, Beverly moved to Santa Cruz and opened her own company. When her business started to dwindle due to the economy, she decided to pursue her college degree and enrolled at University of California at Santa Cruz. As a 56-year-old college graduate, Beverly found herself re-entering a virtually non-existent job market. This began a 10-year struggle for Beverly to provide for herself.

“For so many years I was always scrambling,” she said. “My rent kept skyrocketing – I could no longer afford to buy food or pay bills. I ate at local grocery stores that gave out samples – those were my meals for about a year. I was always hungry, but couldn’t bring myself to tell anyone that I needed help.”

She decided to move back to San Francisco, but with no place to live, she became homeless and stayed with various friends. After conducting extensive research and submitting housing applications in five different states, Beverly almost gave up her search for an affordable home until she found Mercy Housing California’s Mission Creek Senior Community. She contacted José Vega, Mission Creek Community Operations Manager, for assistance.

“He was so nice and he showed me around Mission Creek,” said Beverly. “I was just in shock that there was anything that beautiful available to people in need. He connected me with all the right people and gave me a lot of practical advice.”

But because Mission Creek had no available units at the time, José connected Beverly with San Francisco’s Direct Access to Housing program, a permanent supportive housing program targeting low-income individuals who are homeless or at-risk of homelessness. Through this program, Beverly was able to secure a home at Edith Witt Senior Community, Mercy Housing California’s newest affordable housing property for low-income seniors. (continued…) “The building is just so beautiful. I love my apartment and I have a million-dollar view of San Francisco.” ~ Beverly Brumfield, Edith Witt Senior Community resident 9 Mercy Housing California (…continued)

2 0 1 0 H IGHLIGHTS : Edith Witt is an 11-story high-rise building and is adjacent to Mercy Housing California’s 10th & Mission Family Housing. Developed on a former parking lot in the heart of San Francisco’s transit rich Mid Market/Civic Center neighborhood, Edith Witt Senior Community consists of 106 studio and one-bedroom apartments. Because there is • In 2010, MHC had 29 affordable housing projects in such an overwhelming demand at both Edith Witt Senior Community and 10th & Mission Family Housing, Beverly multiple stages of development throughout the state. considers herself extremely lucky to have her new home. These 29 projects will result in 3,918 new units providing safe, quality affordable housing for more than “The building is just so beautiful. I love my apartment and I have a million-dollar view of San Francisco,” said Beverly. 10,000 residents. “I signed the lease before seeing the apartment, so I almost fell over when I walked in!” • Mercy Housing California President Jane Graf was The apartments are affordable to seniors at incomes of 50 percent of city area median income or below. HUD 202 named one of the 2010 Most Admired CEOs by San funding is subsidizing 95 of the units so that residents pay only 30 percent of their income for rent, enabling Francisco Business Times and was also named Chief Operating Officer for Mercy Housing, Inc. extremely low-income seniors to access this housing. Funding from the City of San Francisco Department of Public Health subsidizes 11 units. Twenty-seven of the units are designated for formerly homeless seniors, like Beverly, • 10th & Mission Family Housing was chosen as the referred by San Francisco’s Direct Access to Housing program. winner in the Urban category and as the Overall Project in Affordable Housing Finance’s 2010 Reader’s The property is named in memory of Edith Witt, a life-long activist known throughout San Francisco as a valuable Choice Awards for the Nation’s Best Affordable resource for community groups working to preserve and expand affordable housing in the city. Witt passed away Housing Developments. in 2000. • We celebrated the 10th Anniversary of the merger With the support of the staff and programs at Edith Witt, Beverly is now embracing her new home and deciding what between Rural California Housing Corporation and Mercy Charities Housing California to form Mercy her next steps will be. Housing California. “I’m looking at what I can do • In spite of the economic slowdown and recession, at Edith Witt to help build the MHC is on schedule to begin construction on three community,” she said. “I don’t new affordable housing communities in Los Angeles. know what this chapter will be When completed these three developments will for me. I want to make a provide housing for approximately 1,000 individuals contribution somehow, so and families. hopefully I can do that through • 2010 was the third successful year of the annual some volunteer work. I’m cholesterol and blood pressure health screenings open to all possibilities.” provided by a local entity of Strategic Health Care Partner, Catholic Healthcare West. These screenings are conducted annually at ten Sacramento region properties, and in 2010 over 300 adult residents at The lobby at Edith Witt Senior family and senior properties benefited from these in- Community in San Francisco, CA kind health and wellness services. (photo by Michael O'Callahan)

10 M ERCY H OUSING A NNUAL R EPORT 2 01 0 seniors live independently

… BECAUSEWEAREHERE . Mercy Housing California Donors

Individuals Kathy & Rich Anderson Jack & Jo Ann Bertges Sister Ritamary Burnham RSM Brandy Ferrate Maria Acuna-Feldman & Timothy Feldman Ardith Armstrong Marion Bishop John & Linda Burns Bobbie Fite Merrilea & Dominic Agostino Jean Artz Natalie Bonnewit Linda Butler Rudy Fontaine Carolyn & Nicodemo Agostino Sloane Atkinson Dr. H. A. & Mrs. Virginia T. Boushey Lilia & Donald Cady Renee Franken Valerie Agostino Alisa Barrios Hanan Bowman Dina Caldwell Aaron Freeman Fred Ahoorai Russell & Noel Bayley Tonja Boykin & Marty O'Loughlin Thomas & Carol Carnish Alma A. Garcia Jeffrey Allport Sister Amy Bayley RSM Gerald & Celeste Brasuell Christine Carsno Elias Garcia Clara Alvarez David & Gerri Berg Gwendolyn Brown Gina Cassinelli Gerrard Gier Rosa & Eric Alvarez Oliver Bernshausen Lawrence & Faith Burgard Ted & Beth Cassman Chris Glaudel Lydia Alvarez-Hernandez Leyna Bernstein Jack & Rose Burgis Rosio Castellanos Roberta Riva Goldman Guadalupe Castillo Jane Graf & Rich Williamson Dr. Jenny Clark Laura Graf Abelle Cochico Paulette Grant Karen Colney Robert J. Grassilli Jr. Patricia Conlin Barbara Gualco Robert & Michelle Cooper Natalie Gubb & David Arpi Victoria M. Cotter Jocelyn Hammerstein Bishop John S. Cummins Kazuko Handa Kathy Dailey Janet Hanks Greg Dalton John Hannon Ramie Dare Diana Heafey Stephan & Gretchen Daues Ben Hecht Sister Carmencita L. De la Cruz Edie Heilman & Richard Weiss Patricia Deatherage Carmen Hernandez John Dela Maureen Higgins Mark & Mary Lou Dentinger Cassie Hill Sister Sheila Devereux RSM Edward & Stephanie Holder Jack & Karen Diepenbrock Alan Holroyde David DiRusso Victor & Lorraine Honig Jennifer & Guthrie Dolin Barbara Hood Al & Liz Dossa Gordon Howie & Wilma Reichard Peter Doyle Janet Howley John Dumont Virginia & Donald Humphreys Mary Dunbar & Tod Thorpe Rosario Illustre Helen Dunlap George & Jacqueline Ivelich Timothy Dunn Shashi Jivan Noel Edson James Johnston Jose Enriquez Mary Jones Janet Falk Janette A. Kelly Daniel & Diane Farthing Karisa Kenyon Anita & George Feiger Gregory Kirsch

12 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Housing California Donors Right: Edith Witt Senior Community CONTINUED in San Francisco, CA (photo by Michael O'Callahan)

Ted Klekman Lynne & Joe McGillivray Frank L. & Pamela Rollo Monica Towers Dara Kovel & Robert Cox Nicole Medeiros Debbie Root Edward & Mary Towers Rebecca Kurland & Patrick Mason Karen Mihelic-Hackett Madeline Rose Joseph Tsang David Latina & Allain Zephyr Anthony Mongini Marcia Rosen Kristine Tubbs John Laws & Rhonda Gray Frank & Margaret Morrow William & Denise Ruark Emma Lee Twitchell Joan & Charles Lawson Beth Mullen Barbara Saak José A. Vega Luis Lazak Michael Munson Jea Sako Deena & Joe Venancio Bill Lazarus Anne Murphy Ana Say James Vezeau Kiet Le John & Susan Myers Helen & Mark Scalzo Sandra Villanueva Margaret & David Lederer Sylvia Navari Edward Schop Patricia Vincent Dorothy Lefkovits Carissa & Alex Nelson Margaret Schrand Pankaj Vyas Maria C. Leon Chuck Nielsen Theresa Sedell Lydia Walker Howard & Irene Levine Joe Nissen Carol Shen Brett & Tara Warren Kelley Lewis Timothy & Nancy O'Brien Victor & Michelle Silva Lebra Watts Mike & Joyce Liebe Lois O'Connell Joshua & Ruth Simon David Wilkinson Joe Lienert Diane Olmstead & Matthew Slepin Ann K. Sims Dolores E. J. Williams Marianne Lim Tasha Patterson Bob & Robyn Slakey Kelly & Cristina Williamson Chas & Virginia Lochtefeld Christopher Peduzzi Kurt & Mary Jane Sligar Casey & Beth Williamson Fred & Patty Lohse Armando Peralta Ian Snoeberger Rabbi & Mrs. Brian Williamson Lauren & Keith Maddock Ben Phillips Helen Solinas John Wilson & M. Susanne Merle Malakoff & Gina Surber John Phillips Julie Solorzano Monary-Wilson Sister Patricia J. Manoli RSM J. Russell Pitto Ann Soloway Polly Wingfield Francis & Delia Ann Mansell Denny & Michelle Powell Greg & Pamela Sparks Bert Witt Mauricio Marcia William & Gloria Powers Dianne & Bruce Spaulding William Witte & P. Keiko Sakamoto Oona Marti Robert F. Prettyman Richard L. Sprague Greg J. & Wendy H. Wolkom Sandie Martinez Bishop Francis A. Quinn Randy Starbird Gloria Yamato Brent Mason Natasha Rabey Barbara Stevenson Yelena Zilberfayn Alice E. Maupin Alfred Raman Marcus Stewart Johna Maychrowitz Saundra Randolph Amy Sullivan & Jennifer Keith Organizations Father Aidan McAleenan Rod & Nancy Read Suzanne & Brian Swift Aaronson Gelb Family Trust Paris McBride Christopher Reed Raymond Swift Agape Christian Fellowship Catherine McCarthy Craig Reigel Rafael Tamayo Alice Phelan Sullivan Corporation Kevin & Mary McCarthy Robert Rich & Emily Platt Rich Asha Theebaraj Anderson Church of Christ Amanda McDade Anne Riley Irene Tonogan Bank of America Dyan McDowell Alicia Robb & Mark Doms Maribel Toscano Bank of America Charitable Foundation “Mercy Housing is probably one of the best partners Catholic Healthcare West has ever had—and I mean it, sincerely.” ~ Lloyd H. Dean, Catholic Healthcare West President/CEO

13 “We need more programs like Mercy Housing. It’s the kind of place where someone can come in off the streets after 30 years and completely change their life around. This is a place that inspires you and gives you hope.” ~ Dan Taylor, Englewood Apartments resident

Mercy Housing California Donors MSM, Inc CONTINUED Okamoto Saijo Architecture The O’Shea Foundation Mercy Housing California Bank of the West Fannie Mae Overhead Door Company of Sacramento, Inc. Bobbie & Mike Wilsey Fund Fidelity Charitable Gift Fund Premier, Inc. Bowers Family Trust Carl Gellert and Celia Berta Gellert 2010 Board of Directors RBC Capital Markets Corporation Butler Family Fund Foundation Rigali Family Trust Cahill Contractors Inc. Gubb & Barshay LLP Ropers, Majeski, Kohn, Bentley PC Lloyd Dean, Catholic Healthcare West California Bank & Trust Evelyn and Walter Haas, Jr. Fund Rothenberg Family Fund California Community Foundation Harder + Company Community Research Vanessa Delgado, Primestor Development, Inc. Historic Old Sacramento Foundation S.F. County Council Archdiocesan Council Catholic Healthcare West Of Catholic Women Anita Feiger, Independent Financial Consultant Hospital Council of Northern and Central Catholic Healthcare West Community The Safeway Foundation Grants Program California Renee Franken, Renee Franken & Associates HY Architects, Inc. The San Francisco Foundation Catholic Healthcare West Greater Edie Heilman, Retired, Charles Schwab & Company Sacramento Employees Inner City Youth Organization San Francisco Lodge No. 3, B.P.O.E. Citi Foundation Institute of Sisters of Mercy of the Serra Bowl Andrea Jones, Bosa Development Americas Community Economics, Inc. SF POA Community Service Committee Howard Levin, Retired, ARCS Commercial Mortgage Community Redevelopment Agency of the Jewish Community Endowment Fund Sherwin-Williams City of Los Angeles JP Morgan Chase Foundation Sisters of Mercy West Midwest Sister Anne Murphy, Sisters of Mercy, West Midwest Conrad N. Hilton Fund For Sisters JustGive.Org Community Timothy O'Brien, Legacy Partners Costco Wholesale Kaiser Permanente Sisters of the Presentation Diane Olmstead, W3 Partners, LLC Cruise Industry Charitable Foundation Keller Group Smart Building, Inc. Monford D.and Lucy L. Custer Foundation KMD Architects SMP Marketing Inc. J. Russell Pitto, Chair, SIMEON Commercial Properties Daughters of Charity, East Central La Famila Counseling Center St. Elizabeth Community Hospital Craig Reigel, Nonprofit Finance Fund Direct Line TeleResponse Stanley S. Langendorf Foundation St. John Regional Medical Center Bruce Spaulding, Gladstone Institute Dominican Sisters of Mission San Jose Lowell Berry Foundation St. Joseph Health System The Kathleen & Terry Dooley Fund M. E. Shay & Co. Sunseri Construction Inc. Susan Wang Wade, Vice Chair, Retired, Solectron Corporation Philip M. Eisenberg Charitable Mercy Foundation Swinerton Builders Gregory Wolkom, CMA Holdings Remainder Trust Mercy Heart and Vascular Institute/Mercy Target El Jardin Restaurant General Hospital Turning Point Community Program Harry C. & Deborah L. Elliott Family Mercy Medical Group Union Bank Foundation Mercy Retirement & Care Center United Way California Capital Region Van Meter Williams Pollack Wells Fargo Foundation Enterprise Community Partners Mercy San Juan Medical Center / Safe United Way of Greater Los Angeles Walmart Foundation Wild Hawk Coffee Company Equity Residential Foundation Kids Greater Sacramento Valley Presbyterian Church Weingart Foundation FAMA Management, Inc. Merritt Community Capital Corporation

1614 M ERCY H OUSING A NNUAL R EPORT 2 01 0 opportunities are created

… BECAUSEWEAREHERE . Mercy Housing Lakefront Breaking the cycle

Dan Taylor spent more than 30 years of his life in the cycle of homelessness.

“I would stay anywhere I could – abandoned buildings, parks, project laundry rooms.”

Taylor eventually was referred to Mercy Housing Lakefront for help. In the Fall of 2010 he was selected to live at Englewood Apartments, Mercy Housing Lakefront’s newest supportive housing property in Chicago.

“I was told Mercy Housing was a place that I would get real hands-on help, and have all kinds of opportunities available to me,” said Taylor.

Englewood Apartments provides permanent housing for 99 Chicagoans who were previously homeless or are facing housing instability. Residents have access to services including on-site case management, leadership training and educational and employment services.

“If you ever doubt that there is a demand for affordable housing, you have to look to the day that we opened the wait list for Englewood Apartments,” said Cindy Holler, Mercy Housing Lakefront President. “Over 1,000 people showed up for 99 units of housing. We are pleased that Englewood Apartments is an important part of Chicago’s Ten Year Plan to End Homelessness.”

The six-story building is the result of the strong partnership formed by Mercy Housing Lakefront, the City of Chicago IHDA and the Englewood community. The project was financed by a blend of public and private partners including U.S. Bank, the City of Chicago, State of Illinois, IHDA, USG, Corporation for Supportive Housing, Illinois Clean Energy Community Foundation and the Federal Home Loan Bank. Additional funding was made possible through a $2.5 million loan from Mercy Loan Fund, a subsidiary of Mercy Housing.

The project received generous philanthropic support from Bank of America Charitable Foundation, Charter One Foundation, Citi Foundation, Equity Residential, Fannie Mae Foundation, Northern Trust Charitable Trust, Pierce and Associates, US Bank and the Searle Funds at the Chicago Community Trust.

“This economic downturn has affected individuals and families in ways that I don’t think any of us ever could have imagined,” said Holler. “The only way that we can turn this around is some collective approaches to the problem.”

Mercy Housing values the partnerships and collaboration needed to make projects like the Englewood Apartments a reality for thousands of people like Dan Taylor.

Englewood Apartments in Chicago, IL (photo by Bridgette Sullivan)

16 M ERCY H OUSING A NNUAL R EPORT 2 01 0 “If you ever doubt that there is a demand for affordable housing, Mercy Housing Lakefront you have to look to the day that we opened the wait list for Englewood Apartments.” M OVING F ORWARD T OGETHER ~Cindy Holler, Mercy Housing Lakefront President Mercy Housing is working with partners to address the foreclosure and housing crisis in the Chicago and Taylor’s short time living at the Englewood Apartments has already made a huge impact on his life. His health Milwaukee regions by building or preserving 7,500 has improved and he is focused on maintaining his sobriety. He is actively involved with the community and has affordable homes and preventing dislocation or even enrolled in school to continue his education. Taylor is also well-aware that there are many people still in homelessness for 30,000 people. Thank you for helping need of assistance. us Move Forward Together. In 2010, you enabled us to: “I know some of my buddies are still out there and they’re stuck doing the same things,” he said. “They look at • Provide housing and Resident Services to prevent or me now and start crying because they know how I used to be. Homeless people are not bad people, and with end homelessness for approximately 2,800 people; the right help, a lot of us can really make a difference.” • Build and open 260 new affordable apartments in Chicago, Countryside and Milwaukee; • Acquire and begin to rehab 413 units of foreclosed property across 22 Chicago neighborhoods as part of the City of Chicago’s $169 million Neighborhood Stabilization Program though the work of Mercy Portfolio Services; • Close on financing and start construction to preserve 301 units of affordable housing in Chicago’s Uptown neighborhood; • Acquire and begin to rehab eight foreclosed homes in Carpentersville and South Elgin; • Create 77 employment opportunities while protecting and maintaining 811 foreclosed homes; and • Secure approximately $4 million in philanthropic commitments for the Moving Forward Together campaign. Special thanks to our campaign leaders: Pierce and Associates, Bank of America Charitable Foundation, JPMorgan Chase Foundation, Citi Foundation, Fannie Mae, John D. and Catherine T. MacArthur Foundation and Provena Health.

Dan Taylor, resident at Englewood Apartments in Chicago, IL (photo by Bridgette Sullivan) 17 potential is realized

… BECAUSEWEAREHERE . Mercy Housing Lakefront Donors

Individuals Daniel Burke Charlotte Flinn Marcy Huttas Maria Kamenaki & George Roumbanis Kiros Amede Donald Burke Annie Ford David & Louise Ioder John Kane Mark Angelini Joseph & Mary Cannizzaro Julia Fredricks Luminita Ispas Buffy & Thomas Keim Anonymous Penny Cato Michelle Friedman Laurie & Ed Jacob Edward & Helen Keledjian Sheila & Bennett Applegate LeKeeta Charley Yanet Garcia Jeffrey Jaffee Susan L. Kennedy Rishi Arora Thom Clark Eva Garrett John & Martha Jarboe David Kennedy Lindsey & J. Carlos Artola Loretta & Michael Clune Gift honoring Harold Schiff & Michael Clune Andrew Jaworski Doug Kenshol & Amy Wiegert Kimberly Asher Kathryn & Steven Cole Jodi & Dan Gingiss Michael Jerabek Norlaine & Lester King Kevin G. Augustyn Nathan Coleson Peter Glick Caleb & Kerry Jewell Debra Kleban & Paul Rupke James H. Austin Craig & Dori Collins William Goldsmith LaVon Johns Sue Klinkhamer Gregory Bailey Karen Collins David Goldstein Sister Margaret Johnson Shawn & Michael Klupchak Diane Baker Carol B. Conklin Scott Goldstein Luzetta Jones Matthew Knight Christopher & Elise Ball Karen Cox Jeannette & Jerry Goldstone Tania Kadakia Sister Margaret Mary Knittel Robert Banta Elizabeth Cox Linda & Bob Goodwin Sister Mary Lois Bartnicki RSM Ralph Cram Carolyn Gourash Madelyne & Howell Baum Alasdair Cripps Kathleen Grant Gregg & Ann Behrens Russ Cross Dennis Gravitt Mercy Housing Lakefront Gregory W. Beihl Sister Mary J. Cunnane RSM Daniel Greenman Tina Belanger Janet & Jesse Dahlstrom Frances Grossman 2010 Board of Directors Linda Bell Linda & Alex Darragh Ron Grzywinski Lydia Bennett Faruk Daudbasic Julio Guerrero George Beyer & Laurel Beyer Angela Davis Keith Harris Bennett Applegate, Applegate & Thorne-Thomsen Ann Bihrle & Patrick Waite Sister Marcian Deisenroth CSJ Janet Hasz & Thomas Golz Lindsey Artola, Secretary, Provena Health Katharine & Frank Bixby Mrs. Chase Delony Harold & Sharon Hayes Stella Black Dirk S. Denison Gordon Hellwig Michael Boarders,Vice Chair, Dykema Andre Blakley Valerie Denney Jonah Hess Michael Clune, Clune Construction Company Sonia & Ted Bloch Ralph DePasquale Janice Hiley Rick Fumo, Fumo Consulting Group, LLC Sara G. Bode Scott Descourouez John & Cheryl Hinde Jeff Bone Robert Dickinson Charles Hoch & Susan Stall Fran Grossman, Urban Partnership Bank Sharon Booth Sarah Doiel Robert G. Hoch Charlie Hoch, Vice Chair Nancy & Michael Borders Donna J. Drinan James Holland Rhonda Hopps, Treasurer, Perspectives Charter Schools Pamela Bordner-Riney Anne S. Duncan Robert & Lois Holler Christopher Bowling Helen Dunlap Cindy Holler & Mark Larson Sister Margaret Johnson, RSM, Sisters of Mercy, Chicago Dorceen J. Boyle Sister Genevieve Durcan Daiquiri Holman Annika K. Little, Bank of America Linda Brace James R. Dwyer & Sally J. Nagel Rhonda & Keith Hopps Jack E. Neal Frederick Bradley Suzanne & Carter Emerson Mark & Suzanne Hosticka Alan & Kara Brauer Glen Eriksson Bill Howard John K. Powell, Chair, Reg Mortgage Capital, Inc. Mary & Renton K. Brodie III Brian & Susan Fargo Madeline & Michael Hughes Kurt Rogers, Carlton Apartments Julie E. Brown Fatmah Farraj Judith & David Hunden Joel Brown Jennifer Feuer-Crystal Saran Morgan & Robert Ayer Hutchins Kay Whitlock, Christopher B. Burke Engineering, Ltd. Tana Burhans Tessa Fischer Natalie Hutchison

19 Mercy Housing Lakefront Donors CONTINUED

Russell Montgomery Marji Shannon Bill Williams Mr. & Mrs. Paul Monzella Carolyn Shapiro & Joshua Karsh Edwin Wittenstein Holly Morresi Nicholas Shapiro David Witz Stephanie & Howard Natinsky Christopher Shaxted William M. Witz Aaron Neal Allison Siebold William Wolk Cheryl & John Neal Victoria C. Silvano Hartwig Zakin Herb & Roberta Nechin Joseph & Cheryl Skender John & Anne Zick Thomas Nehring Steven Skovensky Bennett Neuman Sherell Slaise Organizations Jean Nuemann James & Kelley Smith Accurate Inspections & Consulting Inc. Dana O'Banion Coya Smith Admiral Heating and Ventilating, Inc. Cheryll O'Bryan Andrew Solomon AIDS Foundation of Chicago Frederick J. Otto Mary Stafford Allstate Insurance Company Jacqueline & Norman Patinkin Amy Stewart-Smith Alvin H. Baum Family Fund Richard & Beverly Peiser Dawn Stockmo Anchor Group Ltd. of Illinois Corliss Perkins Ted Strand Applegate & Thorne-Thomsen Elizabeth Baldwin Phillips Lois & Richard Stuckey Appraisal Research Counselors, Ltd. Mr. & Mrs. William E. Phillips Michael Sullivan Architecture Plus - Chicago LLC Cathy J. Pilarczyk Patrick Sullivan ASC Window Corporation Johnston Center Cynthia & Jason Korb Rose N. Mabwa Susan & John Powell Cindy Thomas Ascension Health Robert Priesol Lisa A. Thompson Ascher Brothers Co., Inc. Residences in Gregory Kosin Sister Bernadette Madden Carl Przyborowski Lisa Thompson Bennett Attorneys' Title Guaranty Fund, Inc. Milwaukee, WI Mary Jo & Kenneth Krauss Carl Malone John Kretchmar Jaqueline Malone Donna Pugh Joyce Tjhio Bank of America Charitable Foundation Valerie & Keith Kretchmer Reynold Martin Jr. Jeffrey Rappin Charlie Tobin Beyer Construction Adam Kroshus Tony & Sharon Mastracci Tracey Reichanadter Marisol & William Towns The Bloch Family Foundation Richard & Donna Kuklinski Felix R. Matlock Jr. Elizabeth A. Reyes Christopher Tritsis Blue Cross Blue Shield of Illinois Jeffrey & Diane Kuta Patricia D. & Sam T. Mauro Christopher Rintz Vivian P. Van Horne Blum-Kovler Foundation Charles Lamar Theodor & Jacqueline Maxeiner Toi R. Robertson Katie VanderMolen The Boeing Company Stephanie Lane Mark & Deborah McCann Jill & Ronald Rohde Barbara & Richard Vanecko Brinshore Development LLC Howard Lathan Kerri McClimen James & Jennifer Rowe Mary White Vasys & Dalius Vasys British Airways/O'Hare Airport — Terminal 5 Employees Kirsten Lescher Sean McEneaney Brian Rowland Michelle Villa The Buccino Foundation Rick Lillie Zebedee McLaurin John Rush Kevin Waco The CARA Program Mark & Kathleen Sears Lindblad Sharon & Tom McSwiggin Sister Ellen Marie Ryan Clinton Wallace Carl R. Hendrickson Family Foundation Annika & Todd Little Rita Meltzer Ana Salinas Kristie Walstrum Cassidy Brothers Paul Littlepage James Merkey Louise & Charles Saltzman Cindy Wellwood-Burke Eunice & Reverend Gerald Schalk Scott Wentworth Catholic Charities of the Elaine Lockwood Bean Dennis & Bonnie Meyer Archdiocese of Chicago Margot & Harold Schiff Brad White Chris H. Lonn Janet & David Midgley Charity & Associates, P.C. John & Kathleen Schreiber Elizabeth & Bruce White Marcia Lott Gabriela Miramon Charter One Foundation Bob & Pauline Schwarz P. Kay Whitlock Gail & Robert Loveman Craig & Nina Mizushima Chicago Association of Realtors Meegan Scovell Richard Whitney Peter Ludwig Elizabeth Molloy Chicago Community Development Beth & Charles Seen Nick Wilder Corporation

20 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Housing Lakefront Donors CONTINUED

The Chicago Community Trust Greater Illinois Title Company MB Financial Bank The Siragusa Foundation Chicago Neighborhood Development Greater Milwaukee Foundation McShane Construction Company LLC Sisters Of Mercy Awards Guaranty Bank Metropolitan Planning Council Sisters of Mercy at Chicago Realty Company The Habitat Company Milwaukee Valve Company, Inc. McAuley Convent Christopher B. Burke Engineering, Ltd. Harley Ellis Devereaux MMPM Foundation Site Design Group, Ltd. Citi Foundation Harris Bank Murphy/Jahn Solomon Cordwell Buenz & Associates, Inc. Clausen Management Services Inc. Harris Family Foundation New Directions Search Clune Construction Company St. Edmunds Redevelopment Harry S. Black & Allon Fuller Fund Northern Trust Charitable Trust Corporation/Tria Adelfi LLC ColeTaylor Bank Helen Brach Foundation Oak Brook Mechanical Services, Inc. TCF Bank Colonel Stanley R. McNeil Foundation Hill Mechanical Group One Economy Corporation Tishman Construction Corp of IL Community Economic Development Historic Chicago Bungalow Association Optimum Appraisal Law Project Tri Par Inc. Holabird and Root The Owens Foundation Convent of the Holy Spirit U.S. Bancorp Foundation Home Depot Foundation Pappageorge Haymes Ltd. CoreLogic United Airlines Huen Electric, Incorporated Patrick and Anna M. Cudahy Fund Crown Family Philanthropies Urban Land Institute Illinois Clean Energy Community Foundation Peoples Energy Daspin & Aument, LLP Urban Relocation Services, Inc. Illinois Mortgage Bankers Association Performance Contracting Inc. The Delta Institute USG Corporation J. F. Kane and Company Perkins Eastman Architects, P.C. Den Construction Management, LLC Valerie S. Kretchmer Jack & Jill of America, Inc., Pierce & Associates, P.C. Associates, Inc. Dirk Denison Architects, LLC Windy City Chapter PNC Real Estate VLV Development DMR Investments James McHugh Construction Company Polk Bros. Foundation W.P. and H.B. White Foundation Dust Em Clean Maintenance, Inc. Jewish Council on Urban Affairs Powers & Sons Construction Company, Inc. Walsh Construction Company Dykema John and Kathleen Schreiber Foundation PPM America Waterton Residential East Lake Management and John D. and Catherine T. MacArthur Precision Metal and Hardware Weese Langley Weese Architects Development Corporation Foundation Preckwinkle for Cook County Weis Builders, Inc. Enterprise Community Partners Johnson Electric Board President Wells Fargo Equity Residential Foundation JP Morgan Chase Foundation The Private Bank We're Cleaning Inc. Fannie Mae The Judicial Sales Corporation Provena Health Wieboldt Foundation Fifth Third Bank, Construction and Karry L. Young Development LLC Engineering Division Red Mortgage Capital, Inc. William G. McGowan Charitable Fund Keaney Construction First American Corporation - Property Reinhart Boerner Van Deuren Wills Burke Kelsey Associates Kelso-Burnett Co Information & Services Reznick Group, P.C. Witz Family Foundation Kingston Mines Flooring Resources Corporation The Rhoades Foundation Woodstock Institute Korb Tredo Architects FNTG-Midwest Agency Rotary Club of Chicago-O'Hare Worsek and Vihon, P.C. Garden of Ink Foundation Lansing Housing Products S.B. Friedman & Company Gibson Electric & Technology Solutions Lawndale Christian Development Sage Foundation Corporation Golub & Company, LLC Sanford Kahn Ltd. Lloyd A. Fry Foundation GoodSearch Searle Funds at the Chicago Madison Construction Grand Victoria Foundation Community Trust Maron Electric Contractors Great Lakes Plumbing and Heating Co. Sigma Engineering, Inc.

21 Mercy Housing Mountain Plains Commitment to service

For the more than 4,300 residents living at 37 properties in Colorado, Nebraska and Arizona, Mercy Housing’s commitment to providing residents with programming has made a lasting impact. Community partnerships play a large role in helping residents gain access to important services and programs. In 2010, Mercy Housing Mountain Plains (MHMP) focused a great deal of energy into improving the already successful Resident Services taking place at properties across the region.

“What we do at Resident Services is so much more than what any numbers could ever show. Mercy Housing Resident Services stops the cycle of poverty by actively seeking out answers,” said Debra Kaufman, Resident Services Coordinator at Crestview Village in Omaha, Neb. “We treat people as individuals and we look for the ways we can help and support each person to be successful. We can’t do it for them, but by letting residents know they matter and that we care, wonderful things can happen.”

For example, residents at the Aromor Apartments, Decatur Place Apartments and Franconia Apartments in Denver, Colo., receive access to intensive mental health counseling services through a partnership with ARTS (Addiction Research and Treatment Services), a program within the Department of Psychiatry of University of Colorado. This program was made possible through a five-year $400,000 per year grant from SAMHSA’s (Substance Abuse and Mental Health Services Administration) Center for Mental Health Services. ARTS counselors and doctors provide counseling and treatment services to MHMP residents in need. Other partners within this program include CHARG Resource Center, Advocates for Recovery and the Denver Department of Human Services. MHMP hopes that this program will help to get at the root of the problem for many residents with mental illness, which can be a main contributor to the risk of homelessness.

22 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Housing Mountain Plains

2 0 1 0 H IGHLIGHTS : In Arizona, Mercy Housing has had a long partnership with several community • Mercy Housing Mountain Plains obtained financing organizations, such as the Area on Aging commitments for Bluff Lake Apartment Homes in Denver’s Eldervention and University of Arizona’s Bone Stapleton neighborhood, a new high-quality, eco-friendly residential community for 92 families that will be Builders programs, to help low-income seniors completed in 2012. live independently through a variety of programs tailored to helping them age in place with choices • In November 2010, Mercy Housing Mountain Plains closed and dignity. Services include nutrition and healthy the rehabilitation financing on three family housing lifestyle education and civic and community developments in Nebraska: Crestview Village, Western involvement. Programs like these help seniors Manor and Northglen. Collectively, the properties will keep in shape both mentally and physically. receive over $10.6 million in rehabilitation and environmental remediation work. All three properties will For some of our residents, the struggle to provide have newly-constructed community buildings with for their families has gotten in the way of a quality education. This fall at Timbercreek Apartments in Omaha, the Omaha community meeting space and offices for management Public Schools (OPS) Adult Education Program began onsite General Education Development (GED) classes. Having and Resident Services. The rehabilitations have started onsite classes eliminates transportation as a barrier for those residents interested in obtaining their high school and will be completed in late 2011. equivalency diploma. • Mercy Housing Mountain Plains continued to host their “The residents are excited about this opportunity,” said Beverly Wagner, Resident Services Coordinator at Timbercreek More Than A Roof property tours to give supporters and Apartments. “They encourage each other during class, form their own study groups, turn in their homework community members an opportunity to learn more about assignments on time and come to class ready to learn!” the work of Mercy Housing. In 2011, MHMP plans to expand the tours from Colorado to Arizona and Nebraska. For many residents, earning their GED provides new opportunities to achieve their career goals or pursue a college degree. Fortunately, OPS is committed to staying at Timbercreek Apartments as long as there are adult residents who want to participate in the program.

“This program is just an example of the many wonderful rewards about working in Resident Services,” said Wagner. “Positively impacting the lives of others is one such recompense and because we are here our residents THRIVE!”

Piñon Terrace in Durango, CO “Our residents encourage each other during class, form their own study groups, turn in their homework assignments on time and come to class ready to learn!” ~ Beverly Wagner, Resident Services Coordinator at TimberCreek Apartments

23 childrenchildren learn,learn, growgrow andand succeedsucceed

… BECAUSEWEAREHERE . Mercy Housing Mountain Plains Donors Mercy Housing Mountain Plains Arizona Individuals Starbucks C. V. Denver Sydney Jones Julie Anderson Valley of the Sun United Way Stephen Dietrich Katherine & Tom Kaley 2010 Board of Directors Jennifer Baier Wholesale Banner Supply Vince & Susan Dodds Arnold & Linda Kaplan Philip & Lydia Bell Sister Genevieve Durcan Gideon & Sania Killion Brigette & Jeff Cross Colorado Individuals Mark Ebel & Catherine Laskey Leslie Tweed King Katherine Kaley, Centennial Bank Gloria Cunningham Joseph Alaniz Kathryn Egan Kathleen King Sister Peggy Martin, Catholic Health Initiatives Mr. & Mrs. Howard C. Holman Robert & Nancy Allen Jill Elwood Allan & Susan Kirkpatrick Lena Kelly Trina Anderson David & Marilyn Erb James Knight & Michelle Horino Kevin McCabe, Chair, Newmark Knight Frank Frederick Ross Sandy Knight Dr. Patricia Baca Jennifer & Rich Erixon Fred Koch Tate McCoy, Vice Chair, Lockton Companies, LLC Kasey Loll Raymond Baiocco Jon & Jennifer Eyberg Faye Koehn Gesemia Nelson, Metropolitan State College of Denver Shelly Lupe Scott & Anna Baker Kate Ferguson & Family Mark Korell & Jane Mayberry Carol A. Maas Mark Barnes Kenneth Figiel Christopher Koziol & Katherine Woods Keith Pockross, Greenberg Traurig LLC Tasha Patterson Jeff Bass Tamara Fisher Tim & Kae Krueger Agnes Ryan, Northern Trust Sister Nancy Beth Perlick RSM Elizabeth Bennett & Sara Luther Darren Fisk Betty & Warren Kuehner Lon Welsh, Your Castle Real Estate Leo & Hermine Philippe Bradley & Kia Benson Mary Fitzpatrick Susan & David Kullman Christopher Reed David Berestka Cheryl R. Fleetwood Maro LaBlance & Jason Lee Josh Widoff, Dividend Capital Total Realty Trust Patricia R. Smith Sarena Wallack Bonora & Marc Bonora Katherine & John Fontana Kristine & Christopher Laping Sister Jovanna Stein OP Vicki & Jack Box Michael & Theresa Fordyce The Latham's Seth Bradley Geralyn Gendill Steven Lawrence Sherry Wheelock Timothy & Juliana Mower William Brady Dana & David Gengenbach Austin Lawrence Maria Witten Robert & Jill Munroe Brian & Robin Brennan Maria Del Pilar Gomez Stephen Le Peau Gene Myers Carol Breslau William Gorham & Joanne McGee Lori Lee Arizona Organizations Elaine & Michael Nelson Amy Brooks Mary & James Groves Donald & Brenda Lewis Arizona Community Foundation Owen Niland & Brian Phetteplace Jim & Linney Brown Christopher Gunlikson William Lindsay Arizona Department of Education--Child Cheryll O'Bryan Nutrition Program Jeanette Brown Jim & Laura Hahn Lynne & David Lloyd Catherine O'Keefe Arizona Department of Health Services DeAnn & Thomas Brunts Jacqueline Hammons Kevin Lofton & Maude Brown Lofton, MD Patricia O'Roark & Frank Wall Arizona Republic Charities Jerome & Marie Buckley Thomas & Karen Harkin Janice MacDonald Chris & Renee O'Rourke Best Buy Children's Foundation Kristi Budish Ned Harvey Fritz Mackey Eileen Pappas Broadway Cares/ Equity Fights AIDS Inc. Christopher & Rebecca Burckhardt Mary Hashem Diane & Will MacMillan Holly Parker First Fidelity Bank, Scottsdale Kathy & Charles Busby Harold Hawkey Michele Mamet Marna Parslow Fry's Food Stores Yvonne Camacho Patti & Kevin Hein John Marcolina Tasha Patterson Gilbert Chamber of Commerce Sandra Carroll David & Lynn Herlinger Pam Maynard Keith & Mimi Pockross Good Source Solutions James A. & Anne K. Coil Chiwa Higashi Kevin McCabe Martin Pocs International Paper Foundation Kevin & Liz Coldiron Richard & Gloria Higgins Tate & Eileen McCoy Howard Pollack Larsen's Vending Ann Corrigan & Kent Rice Laurie Hoag-Winkler Colleen McEahern Sheila Pottern McDonald's Restaurant Walter J. & Ellyn Coughlin Joe & Robyn Hodas Lynda McNeive Susan Powers & Russ Wayman Paradise Bakery Rae Ann Cummings Rodney Hubbard & Debbie Ford Mark Mehringer Daniel Prather Pottery Barn Kids Store Joshua & Michelle Davis Kerri & Gregory Huffert Ann Mellencamp John Proctor Sasseaze Hair Color Spa Barbara DeAngelis Carl Hutchins Eric Mello & Brandy Rosenfeld-Mello Lata Ramachandran Sherwin Williams Kristin & Erich Delcamp Linda & David Johnson Debra Miller Jennifer & Jay Reed St. Vincent DePaul Erin Denholm Marybeth Jones Shirley Moore Christopher Reed

25 Mercy Housing Mountain Plains Donors CONTINUED

Marcella Wolfe Northern Trust Matching Gifts John Maloney Sarah Wolfgram & James Grazier Northern Trust, NA Reverend John O. McCaslin Patricia & Paul Zecchi Peck Shaffer Dr. & Mrs. James E. McGill Petunia Foundation Robert & Mary Pat Mockler Colorado Organizations Rose Youth Foundation Elizabeth Norris 517 Search Labs Shot! Magazine Richard & Renee O'Brien All Souls Catholic Church St. Frances Cabrini Tasha Patterson America's Road Home Inc. Tim Sabus & Company, Inc. Catherine & Richard Pedersen Amobus Telecom U.S. Bank Jean Perez The Anschutz Foundation UMB Bank Donald & Beverly Sarton Bank of America Charitable Foundation Wain & Hildegard Stowe Family Foundation Barry & Susanne Scheinost The Sam S. Bloom Foundation Wells Fargo Foundation Janice Schultz Buzz Roofing, Inc. Wells Fargo, N.A. Harold Shorr Catholic Health Initiatives WhiteWave Foods John & Paula Smolen Caulkins Family Foundation Xcel Energy Foundation Sister Rose Stec RSM Chase Community Development Banking Your Castle Real Estate LLC Mary Thornton Citywide Banks Katherine L. Townsend The Colorado Health Foundation Nebraska Individuals Judith Valenzuela The Colorado Trust Richard & Elisabeth Aube Michael & Alyce Villone Scott Robbins William & Joyce Thorn Crown Family Philanthropies Nancy Beitenman Sarah Wagstaff Peter Romanovsky Coleen Truax Daughters of Charity, East Central Thomas & Catherine Boxleiter Dennis Walsh Bruce Saab Ruth Trujillo The Denver Foundation Teresa Bredar & Marcia Bredar Sherryl Weeks Stacey Saggese Chalmers Turner Elite Brands of Colorado, Inc. Father Terry T. Bruce James & Shirley Young Tara Sakraida Shannon Urbana Equity Residential Foundation Maureen & Gary Campin Patty A. Zieg & Tim Higgins Jeffrey & Marcie Schmitz Kimberly Urish Fannie Mae Kevin & Liz Coldiron Rachel Shields Dr. Nancy VanDeMark First Universalist Church of Denver Reverend J. Kenneth Criqui Nebraska Organizations Shawn & Heather Simmons Debbie VanHoosen The Arthur J. Gallagher Foundation Richard & Jane Davis Bank of the West A. C. & Michelle Simons Kirsten Vermulen GG Colorado Enterprises Inc. Maureen & Dale Davis College of Saint Mary Darlene Sisneros & Emilio Lobato Dora Vigil GivingFirst Chadi El-Khoury Countryside Community Church Jody & Bob Smith Eric Voogt & Alison George Great-West Life & Annuity Insurance Co. Todd & Amy Feltz Home Depot Foundation Lynn Smith David & Bonnie Wallack Greenberg Traurig, LLP Roger & Jo Ann Gerstner Iowa West Foundation Charles & Laurel Sparks Ariana Wallack Virginia W. Hill Foundation Joyce E. & John F. Gibbs Jr. McAuley Service Center--Mission Mary Spiesman Cary & Kathryn Weinstein Holland & Hart LLP Ivy Goetsch Integration Division Kathy Spradling Mark F. & Catherine G. Welch Humanfit Inc. Derek Gripenberg Mercy High School Nancy Spruit Teresa & Lon Welsh Helen K. and Arthur E. Johnson Foundation Mary Jo Havlicek Mutual of Omaha Foundation Heather Staggs Alexis Wertz JPMorgan Chase Foundation Robert & Janet Heaney Pacific Life Foundation Robert & Lucille Stark Jim West Kaiser Foundation Health Plan of Colorado Beatrice Jacques St. Margaret Mary Church Mary Stewart Randy & Sherry Whitehill Lockton Companies, LLC Rita Kessler Deborah Stratton Joshua Widoff Mile High United Way Reverend Eugene C. Kutsch Aleta Thomas H. E. Wilkinson Nelson & Associates, CPA's, PC Joan Lubischer Shawn & Michelle Thompson Bert Williams

26 M ERCY H OUSING A NNUAL R EPORT 2 01 0 the face of affordable housing is changing

… BECAUSEWEAREHERE . Mercy Housing Northwest New opportunities in the Northwest

Mercy Housing has a long history in the Northwest, with a presence in 16 Washington counties and 10 properties in Idaho and we have continued to expand our geographic impact on the region. Mercy Housing Northwest (MHNW) marked several new beginnings for real estate development in 2010, with new affordable developments in Seattle, Wash.; Boise, Idaho; and Mercy Housing’s first senior community in Tacoma, Wash.

“These three new properties will add 178 affordable homes for families, seniors and individuals who cannot afford the high cost of market-rate rental housing,” said Bill Rumpf, Mercy Housing Northwest President. “We are excited to build on our reputation and to meet the need for affordable, program-enriched housing in the Northwest.”

Mercy Housing Northwest was awarded funding from the City of Seattle Office of Housing and the Washington State Housing Finance Commission's "Washington Works" program for construction of Columbia City Station Apartments, 52 affordable apartments for working adults and families. This is Mercy Housing’s first affordable housing property in the city of Seattle. Construction is expected to begin in mid-2011 and be completed by the fall of 2012. The property will be part of the award-winning Rainier Vista HOPE VI revitalization project.

In Idaho, Mercy Housing began work on 12th and River Senior Housing – our first multifamily development in the City of Boise. 12th and River will provide 53 affordable apartment homes and supportive services for seniors in downtown Boise. Mercy Housing has been evaluating the need in Idaho to develop new properties, rehabilitate existing properties and provide property management expertise to other non-profit organizations in the area. We have secured the necessary public and private funding and anticipate beginning construction on 12th and River in April 2011.

Left: New Tacoma Senior Housing in Tacoma, WA Right: Rendering for 12th and River Senior Housing in Boise, ID 28 M ERCY H OUSING A NNUAL R EPORT 2 01 0 “We are excited to build on our reputation and to meet the need Mercy Housing Northwest for affordable, program-enriched housing in the Northwest.” 2 0 1 0 H IGHLIGHTS : ~ Bill Rumpf, Mercy Housing Northwest President • In the spring of 2010, Mercy Housing Northwest welcomed Bill Rumpf as President for the region. Mercy Housing currently owns and operates four family housing communities with 160 homes in Tacoma, Wash. To • MHNW completed a $25 million renovation of Appian better meet the needs of the city's elders, MHNW started construction in 2010 on New Tacoma Senior Housing. New Way Apartments in Kent, Wash. The renovations Tacoma is funded through the U.S. Department of Housing and Urban Development’s Section 202 program, which included significant updates to all eight residential works to expand the supply of affordable housing with supportive services for the elderly. The new community buildings, the construction of a new, 5,400-square- features 75 affordable apartments for seniors. This project has also provided much-needed construction jobs in an foot community center and generated approximately area hit hard by the unstable economy. The property is scheduled to open in April 2011. 230 jobs over the 12-month course of development. • During 2010, MHNW purchased and rehabilitated These developments are only a few of the projects building on the successful foundation we have created in the nine foreclosed homes in the City of Nampa, Idaho. region. Mercy Housing Northwest has made a long-term commitment to enrich communities and provide Mercy Housing's goal for 2011 is to purchase and opportunities for our residents to develop their full potential. rehabilitate eight more homes by year's end. • MHNW used $3.4 million received from the HUD Green Retrofit Program to facilitate utility-saving and other green building retrofits at seven properties in rural parts of Washington. • With the generous support of donors, MHNW provided backpacks and school supplies to almost 800 children throughout Idaho and Washington. • MHNW provided development services to the Yakama Nation Housing Authority for the redevelopment of Wanity Park Apartments – a 54 unit property for senior members of the Yakama nation. Construction is expected to be complete in Spring 2011. • Seventy-three percent of residents accessed one or more supportive programs in 2010, and programming was expanded to four rural properties. • The Employment Services Program was established in Washington to provide residents with individualized assistance in achieving their employment goals.

29 Mercy Housing Northwest Donors Mercy Housing Northwest Idaho Individuals Mary Ann Freitag-Taylor Dana Reddington Ann Alvarez Richard & Susan Gardner Robert & Kathleen Reed 2010 Idaho Board of Directors Gail Barrutia-Kovash Patrick & Alison Haas Samantha & Thomas Richards Sarah Bertram Dena Harkness Betty Richardsosn James Birdsall Alisha Havens Lorry Roberts Ann Alvarez, Community Volunteer Kristin Bjorkman Scott Hedrick Dennis & Nancy Robinson Sister RoseMary Boessen, La Posada Ministry Beatrice & Jeff Black Michael & Christina Huttash Sister Michon Rozmajzl RSM Genia Black Brian & Leslie Korth Bill & Eve Rumpf Linda Bratnober, Community Volunteer Jim & Linda Bratnober Nicole Lang Robert E. Sabino Sam Byrd, Centro de Comunidad y Justicia Tom & Mary Lay Nancy Salyer Sally Boynton Brown Sister Maura Clark, RSM, Chair, Sisters of Mercy Kattie Bruno Monique C. Lillard & Duncan Palmatier Jennifer & Stan Seamons Greg Bullock Amy McDevitt William Sharp Sister Georgita Cunningham, RSM, Sisters of Mercy Paul Chiocco & Doug McCrary Karen & James Moore Kenneth G. Sherman Brian Korth, US Bank Mary Clark J. Craige & Toni Naylor Patrisha Simon Jane Pavek, Wells Fargo Bank Judith Crotty Jennifer Oxley Richard & Carole Skinner Terry Davis Kelly Parziale Michael & Stephany Smith Samantha Richards, URS Corporation (Washington Division) Kay Dillion Tasha Patterson Melaney Swenson Cindy Williams,Vice Chair, Idaho-Nevada CDFI Jennifer Ellis Jane E. Pavek-Link & Robert P. Link Cindy & Brad Williams Mary Ann Farrell & James Hoff Ofelia Ramirez Toney Williams Kathy Winterton U.S. Green Building Council David & Bernetta Beattie Virginia Zimmerman United Way of Magic Valley Winifred McGuire Becker Mercy Housing Northwest Wells Fargo Foundation Terrence Bedford Idaho Organizations Wells Fargo Housing Foundation Sister Dorothy Berg OP Bank of America The Whittenberger Foundation Joshua Berger 2010 Washington Board of Directors Cathedral of St. John Evangelist Scott E. Bevan CTA Inc. Washington Individuals Rita Bjork Laura Moore Cunningham Foundation Patty Beattie, OP, Tacoma Dominican Sisters Richard & Sharon Abrams Christina Bollo Edwards Chiropractic Offices Layne Alfonso Sharon Kay Bond Tom Byers, Cedar River Group Farmers National Bank Thomas Allsopp Judy Bourgault Judy Byron, OP, Adrian Dominican Sisters Glanbia Marilyn Andrews Sister Chauncey A. Boyle SP Glancey Rockwell & Associates Jennifer King Daugherty, Ponder & Co. Angela Arralde & Robert Millar John & Frances Bradley IDACORP Financial Dorothy & Bob Atkins Sister Helen T. Brennan SP Eleanor Gilmore, Peace Health Idaho Mortgage Lenders Association Sister Diana Bader OP Anita Broderick Kate Gormally, Providence Mother Joseph Care Center Intermountain Community Bank Jean Baker Lisa Brown JPMorgan Chase Sharon R. Hughes, U.S. Bank Robert Baldwin Sister Charlyne Brown SNJM KeyBank Brenda Baltrusch & Stephen Sjoberg Kimberly Brown Gail Larson, Chair, Retired, Providence Hospital Everett The Lightfoot Foundation Mike & Renee Bang Susan Bryan Maureen Newman, SP, Sisters of Providence Nampa Shelter Foundation, Inc. Sister Francine Barber OP Susie Burke Sisters of Mercy West Midwest Darren Pen, Safe Streets Campaign Community David Barnhart Douglas Burt Pamela A. Wood Title One Sheila Bayley Carol Lewis & Tom Byers U.S. Bank Sister Patty Beattie OP Tara Byrd

30 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Housing Northwest Donors CONTINUED

Sister Judy Byron OP Thereasa Downey Jonathan & Christine Halvorson Jill & James Kawulok Stephanie Caldwell Paul Doyle Andrew Hammond Dorothy J. Keeffe Don & Hazel Cameron Kathryn Dreisbach Cora Hanrahan David Kelley Sister Sharon Casey OP Sister Karin Dufault SP Elizabeth Hansen Donna & John Kelly Scott & Gabrielle Catton Carol & Geoff Eastman Carolyn Hardy Betty L. Kinerk William & Patricia Cheplic Margie & Alan Eckroth Doug Harkness & Allison Mandaville Mary C. Kleiner Carol & Lou Chiocco Cora & Douglas Eklund Lori C. Hauser Jeff & Linda Kleingartner Paul Chiocco & Doug McCrary Monika Elgert & Brian Sweeney Sister Linda Haydock SNJM Mary Ann Knowles Sister Cherotich Chuma CSJP Steve Emmer Victoria Hayes Karen & E. J. Knuckey Steve Clagett & Jennifer Parker Christine & Anthony Farrell John Heagle Curtis Koger Linda Clark Jennifer Ferguson David Heater Madelin Kolb Reverend Patrick Clark Meagan FitzGerald Jay & Karen Helfrich Marty & Shari Kooistra Serena H. Clarke Maureen Fitzgerald & James Krupke Charles & Karen Helms Sister Michele Kopp OP Nate Cleveland Lydia Folsom Heidi & Thomas Henderson Jeffrey & Phaedria Kopp Tom & Mary Mara Appian Way Apartments in Tacoma, WA Maureen & Steve Cline Sandy & Dave Forman Allen Hendricks Marvin & Mary Kopp Cheryl Markham Roberta Cole Tonya Forthman Don & Carol Henry Nancy Koptur Marilyn Marks Sharon Coleman Constance Fraser Vince Herberholt & Cathy Murray Anne Krivens Tom & Leslie Mathews Ronald & Linda Coleman Linda & Michael Fredericks Anne Herkenrath Jack Kuester Amanda Mauzey Martin & Jennifer Coles Marcy Freed Virginia & Richard Hessler Linda Lamb Richard E. McAlister Paige Collett Bryan Friend Christi Hnat Paul Lambros Susan McArdle Virginia & Lawrence Cooper Anne Marie Frisby Judith Hoefling Gail Lannoy Eve McClure Denis & Beverly Curry Moriah Frisby Harry Hoffman Mary Lou LaPierre Pamela McEachern Debbie Daniels Ruth R. Furman Cheron A. Holman Gail Larson Jerome McFadden Jennifer & William Daugherty Anne Ghosn Patricia Hoppa Jan Laskey James & Janell McGowan Betsy S. Daugherty Nora Gibson Matthew Hornyak Joanne LaTuchie Jeff McInnis Sister Charlotte Davenport CSJP Joyce & James Gillie Toni & E.R. Houghton Patricia & Tom Layden Kimberly McKittrick & Paul Davis Thomas & Eulalie Ann Davis Sister Eleanor Gilmore CSJP Cheryl & Ronald Huffman Margaret & Earl Le Clair Kent & Deborah McLaren Virginia & Dexter Day Sibyl Glasby Sharon & Cleveland Hughes Ronald & Dona Lehr Lynne McManus Jennifer Debnam Sebastian Glowacki Natasha Hundley William & Laurita Lehtinen Thomas Mead Mike & Leslie Decina Kathleen Gormally Sister Dolores Hutson OP Tina Lemieux Mollie Means Nancy Wong & Tom Decker Sister Cele Gorman OP Lori Iannucci Sister Sheila Lemieux Anne Melone Leslie Decker Jean Greaves Jim & Catherine Irby M. A. Leonard James Merlino Marie Delano Kenneth & Joan Grieser Ann R. Jackson Kathryn & Jordan Lerner John & Ellen Middleton Sister Judith Desmarais SP Sister Mary Grondin SP Mary Jesmer Margaret Lichter Allan Miller Mark & Susan Dibble Kevin Grossman Christopher Johnston David & Joan Lippincott Michael Miller Patricia Dickason Paul Grudis Cheryl & David Jones Hubert Locke Michael Moedritzer Mary L. DiJuluio Carol & Wayne Gruen Pat Jorag Jan Lovig Gina Mohr Alice Dinerman Ruth & James Gutierrez Patty Jordan Sandy Lowe Roberta Moody Barbara J. Dingfield Teresa Haigh Keith Kaiser Alisa Luber & Joseph Genster Sister Claudia Morgan OP Tom Donlea & Julia Maywald Sister Helen Haigh CSJP Sven & Marta Kalve Terry Lundeen Susan Moriarty Kathleen Shannon Dorcy Cheryll Halbert-Kimbel Mark Kantor Suzanne Mager Terry Morris-Walker Binda Douglas John Hale Ernest & Debra Kawamoto Sister Maureen Maloney SNJM

31 Mercy Housing Northwest Donors CONTINUED

Joan Morse Christopher Reed Peg Staeheli & John Troup Washington Organizations KeyBank Foundation Megan Moskwa William Reid Edward J. Stanley Altrusa International of Olympia Kiwanis Club of Olympia Tanya Mote Sister Kathleen Reilly OP Lee Stanton Arch Ecology, LLC Lucky Seven Foundation David & Gretchen Mullins Alice Reimold Teana Sterr Archdiocese of Seattle Martin Family Foundation Bill Munro Sister Jeri Renner OP Brenda J. Stratton Associated Earth Sciences, Inc. Medina Foundation Sister Mary Pat Murphy OP Jennifer Richardson Peter & Ria Stroosma Bailey & Bailey Counseling Microsoft Matching Gifts Ron & Karen Murphy Donald Riddell & Carol Keyes Rhenda Strub Bank of America Gary E. Milgard Family Foundation Joyce & Roy Murphy Stephen & Karen Ridlon Matthew Suhadolnik Bank of America Charitable Foundation The Norcliffe Foundation Tanya & Daniel Murray Bruce & Crista Rifenberg Eileen Mckenzie Sullivan Benedictine Sisters Olympia Federal Savings Sister Andrea Nenzel CSJP Jessica W. Robertson Karen Summers Beresford Booth PLLC OneFamily Foundation Parke & Mary Nietfeld June Robinson Wendy & Curtis Tanner Capital Lakefair Inc. Peace Health Lydia Nikoliasen Randy Robinson Ricky & Lona Teh Carillon Point Account Pepsico Foundation Nancy Nordhoff Elaine M. Roe Mary Tharp Carmelite Monastery of Seattle Raskob Foundation for Catholic Kathleen O'Connor & Heidi Erdmann Karen L. Rogers Sister Elisabeth Tiernan SSND Catholic Health Initiatives Activities, Inc. Philip & Rosemary O'Loane Michael Rollinger Pam Toal Community Food Co-op RealNetworks Foundation Mary Olsen Michael Romine Les Tonkin Community Foundation of Rice Fergus Miller Architects Margaret & Charles Olson Sister Karen Rossman & Sister JoAnne Maria Valdesuso & Mark Roberts South Puget Sound Rotary Club of Olympia Norma O'Neill McCauley Jerrine Valentine Community Health Plan Saint Raphael's Guild Gael O'Reilly Brooke Rufo-Hill Sister Charlotte Van Dyke SP Cooper Levy Trust Seattle Foundation Douglas Orth Bill & Eve Rumpf Julie Wagner Coughlin Porter Lundeen, Inc. Sequoia Foundation Tereasa & Keith Palmer Barbara & Allan Rumpf Sister Tonia Wanecek CSJP CPCU Society - Pacific Northwest Chapter Sider & Byers Associates Helen Palmer Christine & Matthew Rush Noelle & Dale Wareham Cronk Family Foundation Sisters of Providence Janet Parker Stephen Saunders Kevin Wartelle Daughters of Charity, East Central Sisters of St. Joseph of Peace Kathryn M. Parker Julie Sawyer Heyward Watson Dominican Sisters of Tacoma Sisters of St. Joseph of Peace, Housing Community Cynthia Parker Anna Sayre Chuck Weinstock Entertainment Explosion, Inc. Tammie Schacher Equity Residential Foundation Sisters of the Holy Names of Jesus Jeanne & Peter Passarelli Ann M. Welch and Mary Anna Schlecht Evergreen State College Tasha Patterson Mary Williams SMR Architects Steve & Carlene Schneider Exchange Club of Edmonds Elizabeth Penney Jeremey Williams Tulalip Tribes Sister Jean Schultz Family Education & Support Services Mary Peppard Brenda & Michael Williams U.S. Bancorp Foundation David & Kacy Scott Fannie Mae Sister Rosemary Perisich SNJM Karen Williams Union Bank Mary & Michael Segawa Forest Foundation Sister Susanne Perri OP Jennifer Williamson & David Forster Union Bank Foundation Patricia Selman The Gottfried & Mary Fuchs Foundation Jane Perry Jim Winskill United Methodist Women Charles Shelan Genesis Alms Fund Lynda & Rodney Petrenchak Kirsten Winter United Way of King County Elizabeth Sheppard Geo Engineers, Inc. Randy Petty & Tai Le Michael S. Wishkoski United Way of Pierce County Shawna Sherman Gloria Dei Lutheran Church Carolina M. Philbin Cathy Wolfe United Way of Snohomish County John & Kathy Shoesmith Integra Telecom Judy Pigott Mary Ellen & Michael Wood United Way of Thurston County Janene Siers Intercommunity Peace and Justice Center Hanif M. Pollock John Woodworth Walsh Construction Co./WA Carol Sittler Irwin Partners Architects Raghvinder Purhar Karin Young Wells Fargo Foundation Daniel & Mary Smerken JMH2 Investments Kirsten Quinn Max Zackula Whatcom Community Foundation Ahmed Amin & Tara Smith JPMorgan Chase Mary Jane Rants John & Carol Zarek Women's Funding Alliance Glen & Mary Smith Kantor Taylor Nelson & Boyd PC Joseph & Nikki Raudebaugh Diane Zytniak Zonta Club of Olympia Kathi and Joe Reder Judy Soward

32 M ERCY H OUSING A NNUAL R EPORT 2 01 0 residents are part of something greater

… BECAUSEWEAREHERE . Mercy Housing Southeast A new life for an old community

The rebuilding of the aging Strathmore Estates neighborhood in Savannah, Ga., is no small task, but Mercy Housing Southeast (MHSE) is prepared to help meet the challenge. MHSE, along with CHSA Development and the City of Savannah, are eager to begin the transformation of Strathmore Estates into the new Savannah Gardens community.

Left: Magnolia Village in Americus, GA. Above: Rendering of Savannah Gardens in Savannah, GA

34 M ERCY H OUSING A NNUAL R EPORT 2 01 0 The Strathmore Estates community was originally built in the 1940s as public housing for shipyard workers. The 44- acre community consisted of 750 apartments and in the 1990s approximately 370 apartments were demolished to Mercy Housing Southeast build a high school. CHSA Development, Inc., with assistance from the City of Savannah purchased the remaining property and worked with the residents and neighboring communities to determine the redevelopment plan. MHSE was then selected as the project developer. The master redevelopment plan will result in the construction of up to 310 2 0 1 0 H IGHLIGHTS : affordable apartments, up to 120 single-family homes, 40 to 60 senior designated apartments and a commercial town • In the fall of 2010, Mercy Housing Southeast center. Savannah Gardens Phase I is the first step in replacing the existing blighted conditions with a healthy (MHSE) welcomed Charice Heywood as President for community consisting of 115 affordable homes for families. the region. The total development costs for Phase I are more than $15.4 million consisting of: $9 million in Federal and State • MHSE received a HUD 202 award for Savannah equity, $2.5 million in Neighborhood Stabilization Funds, $1.9 million in 1602 Exchange Funds, $1.1 million Gardens Phase II, 40 affordable homes for seniors in Conventional debt and a $500,000 in CDBG loan. Savannah, Ga. MHSE was awarded a Low Income Housing Tax Credit allocation by the Georgia “With all of the financing layers, this by far has been the most challenging deal structuring that MHSE has Department of Community Affairs for Phase III of experienced,” said Sharon D. Guest, Mercy Housing Southeast Regional Director of Development. Savannah Gardens, which includes 105 affordable homes for families. The project design includes 14 buildings that will be a mixture of two- and three-story buildings. Six of the units will be fully equipped for the mobility impaired. The project will provide the appropriate accommodations to allow for the • MHSE completed construction of the Hills at Fairington marketing and leasing of units to residents with disabilities or who are otherwise facing homelessness. Apartments, featuring 406 units of multifamily affordable housing in Lithonia, Ga. Property amenities will include a community room, covered porch and on-site laundry facilities, as well as an activity • In 2010, construction began on the Antioch Villas & center, computer center, playground, fitness center and a covered pavilion with picnic facilities. There will also be a Gardens development in Stone Mountain, Ga. The large public park maintained by the City of Savannah in the center of the development that is part of the larger master development consists of 106 affordable homes for planned community. The City of Savannah is providing approximately $800,000 in public improvements that will adults age 55 and above. unit development in Stone directly impact Phase I. Mountain, GA reserved for Adults aged 55 and above. To further the community impact and encourage sustainability, a great deal of consideration has been given to how existing materials on the property site can be recycled or re-used. In an effort to minimize the impact on the local landfill during the construction phase, students from the Savannah College of Art and Design joined in the initiative and organized a “harvest day” during which they scavenged for materials from the old buildings that could be used to create something new. Additionally, as part of the Southface Energy Institute's EarthCraft Coastal Community, Savannah Gardens Phase I will also participate in the EarthCraft Multifamily program, ensuring sustainable development and energy efficiency in the property's design, construction and operation.

Construction on Savannah Gardens is expected to be complete in December 2011. Once the project is completed, it will be professionally managed by Mercy Housing Management Group and will include on-site resident services programs provided by Mercy Housing Southeast.

Allegre Point Senior Housing in Decatur, GA

35 Mercy Housing Southeast Donors Mercy Housing Southeast Individuals Wendy Green Herbert Kohn Andrew A. Allison Jenna Griffin Jason Lary 2010 Board of Directors Bobby Artis Sharon Guest Terri M. Lee Sterling Bethea Robin L. Haddock Michael Lombard Herman Blackshear Sunny Hancock Ralph Luttrell Vince Barksdale Laura Brown-Wells Bobby Harmon Estella Marshall Richard Harrell Jon & Martha Calloway Pamela Helmey Philip McGregor Jane M. Haverty, Sulé Carpenter Charice Heywood Veronika Mix Chair, Smith, Gambrell & Russell Sharon Cauthen Angela Hill Sharmin Monagan Paul P. Hinchey, St. Joseph's/Candler Health System Thomas L. Coleman Julie Hollis John Moss Herbert Kohn, Retired CPA/Developer Patti Corcoran Brad Howard Gray Kinsey Nolan Andrea Cummings Young Hughley Cheryll O'Bryan Don McKenna, St. Mary's Health Care System, Inc. David & Catherine Dixon Bill & Donna Izlar Lori Palma Candace Byron Ellis Brooke Jeter-Crawford Tiffany Palmer Joy Fitzgerald Joan Johnson Tasha Patterson Ken Ford Leslye Kahn Rick Patterson Organizations Reznick Group, P.C. Brigitte Geter Joann Kendrick Ophelia Marie Payne Alliant Health Solutions, Inc. Savannah Chatham County Public School System Lovel Gilmore Mark Kilby David Pinson & Edith Waller APD Urban Planning & Management, LLC Select Floorcovering LLC Harvey & Barbara Granger Wanda King Ruben Ramirez Atlanta Neighborhood Development Partnership, Inc. Sisters of Mercy Columbus, Georgia Neil & Megan Schaap Aucheev & Associates, Inc. Sisters of Mercy of North Carolina Susan Sherfield Bank of America Charitable Foundation Foundation, Inc. Ron Sitterding C & B Turnkey, LLC Sisters of Mercy, North Carolina Anthony Snell Dan Vaden Motors SunTrust Bank, Atlanta Brent Sobol Elder Mechanical & Site Work Inc. Target Debra Stephens Enterprise Community Partners Wachovia Wells Fargo Foundation Wendy Stewart The Enterprise Foundation Zade Enterprises, Inc. Troy Strong Environmental Recovery Corp., Inc. Julian Thompson EOA - Austin House Brenda Thurston Fannie Mae Mr. & Mrs. Reed Very Gregory B. Levett & Sons Funeral Eugene P. Walker Jr. Homes, Inc. Eugene Walker Sr. The Mary E. Haverty Foundation Shelby Weidler Hospice Savannah, Inc. Kroger Store #652 Martin Riley Associates McBride Research Laboratories, Inc. Mikobe Inc. Norsouth Construction Company of Georgia Publix Super Markets Charities RBC Capital Markets Corporation Resurrection Parish Heritage Corner/Heritage Row in Savannah, GA

36 M ERCY H OUSING A NNUAL R EPORT 2 01 0 neighborhoods are stronger

… BECAUSEWEAREHERE . Mercy Loan Fund Mercy Loan Fund celebrates 25 years

In 1985, Mercy Loan Fund (MLF) made its first four loans totaling $185,900 to an organization revitalizing depressed neighborhoods in Omaha, Neb. Twenty-five years later, MLF has expanded its presence to more than 150 cities and has provided 425 loans totaling $197 million to more than 150 nonprofit affordable housing developers.

Over the past 25 years, MLF has also built strong relationships with its borrowers, organizations dedicated to meeting the housing needs of communities throughout the country. Whether the loan provides funds for acquisition, construction, bridge, permanent or predevelopment financing, the borrowers have been able to count on MLF to provide loans on credit-worthy projects for which conventional financing is A program funded by Mercy Loan Fund helped the Vargas Family purchase their first not possible or not affordable. home in Commerce City, CO The U.S. Treasury’s New From the 15 investors MLF acquired in the first five years of business, to currently Markets Tax Credit program more than 140 investors, MLF has been able to count on their long-term dedication and support. On average, 89 percent of MLF’s investors renew their investments for another term when their investments mature. is designed to encourage

MLF has leveraged over $1.4 billion in total development funding, an average of $7.30 per dollar loaned. economic development and These loans have supported the development of 17,000 units for more than 48,000 residents. expansion in distressed areas. “We are proud of our accomplishments over the past 25 years,” said Julie Gould, Mercy Loan Fund President. The Treasury allocates the “We look forward to making a greater impact in the future.” credits to community 2010 also marked a year of innovation and new opportunities for Mercy Loan Fund. As the year came to a close, MLF allocated $20 million in New Markets Tax Credits to Forrest General Hospital Orthopedic Institute located in development and financial organizations like MLF who, in turn, issue the credits to organizations seeking capital for financing projects.

38 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Mercy Loan Fund looks forward to a bright future of carrying on the 25-year tradition of bringing together traditional and nontraditional sources of financing and resources to build healthy, vibrant communities across the country.

Hattiesburg, Miss. This health care partnership and project met the “Rebuilding Healthy Communities” theme of MLF's New Markets Tax Credit award in three key ways: • The clinic will be located in the Gulf Opportunity Zone ravaged after Hurricane Katrina. • This non-profit county hospital is dedicated to improving the health and lives of people of all income levels. • The clinic will serve the surrounding 19 medically underserved areas.

The U.S. Treasury’s New Markets Tax Credit program is designed to encourage economic development and expansion in distressed areas. The Treasury allocates the credits to community development and financial organizations like MLF who, in turn, issue the credits to organizations seeking capital for financing projects.

Forrest General Hospital, a non-profit county owned hospital, provides all levels of care for critical access care hospitals in a 19-county service area. With a policy never to turn away a patient, regardless of ability to pay, Forrest General Hospital provided more than $78 million in charity care during 2010. The new orthopedic facility will create 189 new permanent jobs to serve more than 4,000 patients annually, and allow for greater efficiencies by focusing solely on orthopedic care with two additional operating rooms, larger patient rooms and ease of access.

“We are delighted to broaden our mission to help communities in need. By partnering with Forrest General Hospital, we are able to establish a new location as a refuge for those needing both inpatient and outpatient orthopedic care,” said Mark Korell, Mercy Loan Fund Board Chair. “This important community resource will allow Forrest General to address the health care needs of Hattiesburg’s residents for years to come.”

Construction on the Orthopedic Institute will begin June 2011 with an 18-month construction schedule.

Mercy Loan Fund looks forward to a bright future of carrying on the 25-year tradition of bringing together traditional and nontraditional sources of financing and resources to build healthy, vibrant communities across the country. Rendering of Forrest General Hospital Orthopedic Institute in Hattiesburg, MS

39 Mercy Loan Fund Borrowers, Investor and Donors

Mercy Loan Fund thanks our 2010 donors and investors for the funds that enable local organizations to develop affordable housing in their communities. We thank our borrowers, who with these funds, strive to meet our nation’s housing challenges.

Borrowers Colorado Veterans for Housing, Inc. (CO) Greenwood Apartments, Inc. (IN) Mount Moriah Development Corporation, Senior Housing Options, Inc. (CO) Adams County Housing Authority (CO) Columbia Cascade Housing Guadalupe Neighborhood Development Inc. (OH) Sioux Falls Environmental Access (IA) The Affordable Housing Group of North Corporation (OR) Corporation (TX) Mountain Regional Housing Soledad Local Development Carolina, Inc. (NC) Community Housing Development Habitat for Humanity of Bucks County (PA) Corporation (CO) Corporation (CA) AIDS Housing Alliance (CA) Association, Inc. (CO) Heartland Housing Initiative (IA) Mountain United Church Housing, Inc. (CO) South Rome Redevelopment Agency (GA) Albemarle Housing Improvement Community Housing Improvement Systems Home Opportunities Made Easy, Inc. National Affordable Housing Network (MT) Southern Mutual Help Association, Inc. (LA) & Planning Association, Inc. Program (VA) (HOME) (IA) National Caucus and Center on Black Aged, Step Stone, Inc. (KS) (CHISPA) (CA) Inc. (DC) Alethia House (AL) Hope Communities, Inc. (CO) Sterling Housing Authority (CO) Community Preservation and Development National Church Residences (OH) Almost Home, Inc. (CO) Corporation (DC) Hope House of Colorado (CO) Summit County Housing Authority (CO) Neighborhood Partners, Inc. (CO) American Housing Opportunity Fund (DC) Community Services Agency Development Housing and Neighborhood Developers, Tierra Del Sol Housing Corporation (NM) Andrew Gardens, Inc. (IN) Corporation (NV) Inc. (HANDS) (NE) NEWSED Community Development Corporation (CO) Tri-County Housing and Community Associated Catholic Charities (OK) Community Services of Arizona (AZ) Housing Authority of the City of Leadville, Development Corporation (CO) Colorado Northeast Denver Housing Center (CO) Atlanta Neighborhood Development Council on Sexual Assault & Domestic Trinity Village Nonprofit Housing Partnership, Inc. (GA) Violence (IA) Housing Authority of the Town of Opportunities for Neighborhood Corporation (MI) Yuma (CO) Empowerment Company, Inc. Bethphage Mission, Inc. (NE) Dallas City Homes, Inc. (TX) (ONE Co.) (CA) United Ministries of Northeast Omaha, Human Resources Council District XII (MT) Inc. (NE) Better Housing Coalition of Richmond (VA) Denver Indian Center (CO) Opportunities Industrialization Centers (PA) Inner City Community Development Unity Cooperative Association, Inc. (DC) Beyond Shelter Housing, Inc. (CA) The Duncan Group (CA) Corporation (CO) Opportunity In Living, Inc. (CO) USA Properties Fund, Inc. (CA) Blackshear Neighborhood Development East Central Kansas Economic Opportunity Intercommunity Housing (WA) Oti Kaga, Inc. (SD) Corporation (TX) Corporation (KS) Valley Assisted Living, Inc. (CO) 4620 Iowa Avenue NW Cooperative PathStone Housing Action Corporation (NY) Boulder County Housing Authority (CO) Eldercare 2000, Inc. (CO) Vitality Center (NV) Association, Inc. (DC) Peoples' Self-Help Housing Boulder Housing Partners (CO) Elkhorn Valley Community Development Jasper County Neighbors United (SC) Corporation (CA) Wakeland Housing and Development Corporation (NE) Corporation (CA) Boys’ and Girls’ Club of Newark, Inc. (NJ) Lakefront Supportive Housing (IL) POSADA (CO) The Empowerment Program, Inc. (CO) Washtenaw Affordable Housing Brother’s Redevelopment, Inc. (CO) Las Marias Cooperative, Inc. (DC) Preservation of Affordable Housing, Episcopal Community Services of Corporation (MI) Cabrillo Economic Development Inc. (MI) San Francisco (CA) Leisureville Community Association, West Central Housing Development Corporation (CA) Inc. (CA) Progressive Redevelopment Inc. (GA) First Baptist Church of Clarendon (VA) Organization (CO) Center for Independent Living Lumber River Housing Development, Providence Network, Inc. (CO) Development, Inc. (CO) First Unitarian Church of Los Angeles (CA) Women Organizing Resources, Knowledge Inc. (NC) Rocky Mountain HDC, Inc. (CO) and Services (W.O.R.K.S.) (CA) Cesar Chavez Foundation (TX) Florida Low Income Housing Lutheran Social Services of Colorado (CO) Association (FL) Rural Housing Inc. (NM) Woodbine Community Organization, Chesapeake Community Advisors, Inc. (MD) Mainstream Housing, Inc. (OR) Inc. (TN) Franklinton Development Association (OH) Sabin Community Development Chesney-Kleinjohn Housing, Inc. (CO) Merced Housing Texas (TX) Corporation (OR) Wyoming Housing Opportunities Friendly Neighbors Cooperative Association, Inc. (WY) Chestnut Neighborhood Revitalization Association, Inc. (DC) Mercy Housing San Antonio Alternative Corp. (TX) Housing Corporation (TX) Yamhill Community Development Gardenside Terrace Cooperative, Inc. (IN) Mercy Management Services (CO) Child & Migrant Services, Inc. (CO) San Diego Community Housing Corporation (OR) Golden Home Corporation (CO) Mid-Peninsula Housing Coalition (CA) Clackamas Community Land Trust (OR) Corporation (CA) Yankton Sioux Housing Authority (SD) Grace Partners (NV) MidAmerica Housing Partnership (IA) Colorado Bluesky Enterprises, Inc. (CO) San Luis Valley Farm Labor Housing Grand County Housing Authority (CO) Mt. Auburn Housing, Inc. (OH) Coalition (CO) Colorado Rural Housing Development Corporation (CO) Greccio Housing Unlimited, Inc. (CO) Missoula Housing Authority (MT) Self Help Housing Corporation of Hawaii (HI)

40 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Investors and Donors Organizations Congregation of the Passion, Holy Cross Hospital Sisters of St. Francis - USA, Inc. Servants of the Blessed Sacrament Sisters of Bon Secours USA Adorers of the Blood of Christ, U.S. Province (Chicago, IL) (Springfield, IL) (Waterville, ME) (Marriottsville, MD) Province (St. Louis, MO) Congregation of the Sisters of Charity of I.H.M. Congregation Charitable Trust Seton Enablement Fund, Inc. Sisters of Charity of Leavenworth (KS) Anonymous the Incarnate Word (Houston, TX) (Scranton, PA) Archdiocese of Omaha (NE) Congregation of the Sisters of Mercy, US Jesuits of the Missouri Province Province (Redlands, CA) The Associated Sulpicians of the United JPMorgan Chase Foundation Mercy Loan Fund States (Baltimore, MD) Congregation of the Sisters of St. Joseph Katherine Perls Trust of Peace (Englewood Cliffs, NJ) Atlantic-Midwest Province Endowment Lederer Properties Ltd. Trust (Baltimore, MD) Congregation of the Sisters, Servants of the Immaculate Heart of Mary Little Company of Mary Sisters (Evergreen 2010 Board of Directors Banc of America Community Development (Scranton, PA) Park, IL) Corporation Conrad N. Hilton Fund for Sisters Maryknoll Sisters Benedictine Convent of Perpetual Medical Mission Sisters (Philadelphia, PA) Adoration (Clyde, MO) Convent of the Sisters of St. Joseph, Grace Buckley,Vice Chair, Retired Chestnut Hill (PA) Mercy Partnership Fund Benedictine Sisters of Covington, Kentucky Adrienne Crowe, Retired CR Alternative Trust Missionary Sisters Servants of the Holy Benedictine Sisters of Mount St. Spirit (Techny, IL) Scholastica (Atchison, KS) Daughters of Charity, East Central Vince Dodds, Mercy Housing, Inc. (Evansville, IN) Missionary Society of St. Paul the Apostle Bernardine Franciscan Sisters (King of (Jamaica Estates, NY) Debra Eakin, US Bank Prussia, PA) Daughters of Charity, West Central (St. Louis, MO) Nazareth Literary and Benevolent Bon Secours Health System, Inc. Charles Edson, Retired, Nixon Peabody, LLP Daughters of the Holy Spirit Institution (KY) Brothers of the Holy Cross of Eastern Charitable Trust Northern Trust Darrell Hubbard, National Equity Fund, Inc. Province USA Inc. (New Rochelle, NY) Dominican Congregation of St. Catherine North American Province of the Cenacle Mark Korell, Chair, JPMorgan Chase Calvert Social Investment Foundation de Ricci (Elkins Park, PA) (Chicago, IL) Carmelite Sisters of Charity (Brooklyn, NY) Dominican Sisters of Mission San Jose Occupational Training Services, Inc. Katy Sears Lindblad, Minnesota Housing Finance Agency (Fremont, CA) Catholic Biblical Association of America Our Lady of Victory Missionary Sisters Chuck Wehrwein, Housing Parntership Exchange Catholic Charities USA (Alexandria, VA) Dominican Sisters of Oakford (CA) (Huntington, IN) Catholic Health Initiatives Dominican Sisters of Peace, Inc. Perrault Family Survivor Trust Sister Linda Werthman, RSM, Sisters of Mercy of the Americas Catholic Healthcare West Dominican Sisters of San Rafael (CA) Province of St. Augustine of the Capuchin Douglas Winn, Wilary Winn, LLC Christian Brothers of Denver (CO) Episcopal Diocese of Iowa Order (Pittsburgh, PA) Claretian Missionaries (Chicago, IL) Everence Community Investments, Inc. Racine Dominicans (Racine, WI) Congregation of Bon Secours Fannie Mae Redemptorists-Denver Province (CO) (Marriotsville, MD) Father Judge Charitable Trust Religious Communities Investment Fund New Markets Tax Credit Advisory Board Congregation of Divine Providence Franciscan Friars-Province of St. John the Religious of the Assumption North (Melbourne, KY) Baptist (Cincinnati, OH) American Province (Philadelphia, PA) Congregation of Sisters of St. Agnes Franciscan Friars – TOR of Religious Sisters of Charity (Culver City, CA) Larry Dale, Retired, Citi (Fond du Lac, WI) Hollidaysburg, PA Client of The Rikoon Group Carla Dartis, Chair, Tides Center Congregation of Sisters of St. Joseph of Franciscan Sisters of Little Falls, MN Sacred Heart Monastery (Yankton, SD) Springfield (Holyoke, MA) Franciscan Sisters of Mary (St. Louis, MO) SC Ministry Foundation (Cincinnati, OH) Angela Hicks, Institute of Women Today Congregation of St. Joseph Franciscan Sisters of Perpetual Adoration School Sisters of Notre Dame, Calvin Holmes, Chicago Community Loan Fund Congregation of the Daughters of Divine (LaCrosse, WI) Mankato Province Charity (New York, NY) Glenmary Home Missioners School Sisters of Notre Dame, Douglas Smith,Vice Chair, Rocky Mountain Communities Congregation of the Mission Province of Milwaukee Province the West (Earth City, MO) The Gadfly Trust Sister Kathy Thornton, RSM, Sisters of Mercy of the Americas, West Midwest Grey Nuns of the Sacred Heart (Yardley, PA) School Sisters of St. Francis - US Province Servants of Mary (Oak Creek, WI)

41 Sisters of Charity of Leavenworth Health Sisters of St. Joseph of Orange (CA) Sisters of the Presentation of the Blessed Clients of Trillium Asset Management Individuals System (KS) Sisters of St. Joseph of Tipton (IN) Virgin Mary, Inc. (New Windsor, NY) Trinity Health Alison Conant Sisters of Charity of New York Sisters of St. Louis, California Region Sisters of the Sorrowful Mother Ursuline Provincialate, Central Province of Anne Else (Brooklyn, NY) International Finance, Inc. (Brown Sisters of the Holy Cross (Notre Dame, IN) the United States Mary Ann Goodner Sisters of Charity of the Blessed Virgin Deer, WI) Sisters of the Holy Family (Fremont, CA) Ursuline Sisters of Mount St. Joseph Julie Gould Mary (Dubuque, IA) Sisters of the Visitation of the Immaculate (Maple Mount, KY) Sisters of Loretto (Nerinx, KY) Sisters of the Holy Names of Jesus and Heart (Dubuque, IA) Janet Kranzberg Mary U.S. – Ontario Province Ursuline Society and Academy of Education Sisters of Mercy of the Americas Sisters Servants of the Immaculate Heart Ann Marie Judson Sisters of the Humility of Mary HM of Mary (Monroe, MI) US Bancorp Community Development (Silver Spring, MD) Corporation Sandy Maben Alternative Loan Fund (Villa Maria, PA) Society of Mary (Dubuque, IA) Sisters of Mercy of the Americas USDA Rural Development Xavier and Penelope Pi-Sunyer New York, Pennsylvania, Pacific West Sisters of the Most Precious Blood Society of the Divine Word, Chicago Sandy Polishuk Community, Inc. (O'Fallon, MO) Province (IL) Visitation Monastery of St. Louis (MO) Byron and Elizabeth Stookey Sisters of Mercy of the Americas Northeast Sisters of the Order of St. Benedict Society of the Holy Child Jesus (Drexel Clients of Walden Asset Management Community (Rock Island, IL) Hill, PA) Weston Priory (Weston, VT) Sisters of Mercy of the Americas South Sisters of the Order of St. Dominic, Society of the Precious Blood (Dayton, OH) Wheaton Franciscan Sisters Corp. Amityville (NY) Central Community, Inc. St. Joseph Health System (Wheaton, IL) Sisters of Mercy of the Americas West Midwest Community, Inc. Sisters of Mercy of the Mid-Atlantic Community, Inc. Sisters of Notre Dame de Namur, California Province Sisters of Notre Dame of Chardon, Ohio Sisters of Notre Dame, Thousand Oaks, California Sisters of Providence of Saint Mary-of-the- Woods (IN) Sisters of St. Francis (Oldenburg, IN) Sisters of St. Francis Charitable Trust (Santa Maria, CA) Sisters of St. Francis of Dubuque (IA) Sisters of St. Francis of the Neumann Communities (NY) Sisters of St. Francis of Philadelphia (PA) Sisters of St. Francis of Rochester, Minnesota Sisters of St. Francis of the Immaculate Conception (West Peoria, IL) Sisters of St. Francis of Tiffin, Ohio Sisters of St. Joseph of Carondelet, Albany Province (Latham, NY) Sisters of St. Joseph of Carondelet, Generalate (St. Louis, MO) Sisters of St. Joseph of Carondelet, Los Angeles Province Sisters of St. Joseph of Carondelet, St. Louis Province Sisters of St. Joseph of Concordia (KS)

42 M ERCY H OUSING A NNUAL R EPORT 2 01 0 a house becomes a home

… BECAUSEWEAREHERE17. Mercy Portfolio Services Preserving neighborhoods and homeownership dreams

Virginia Watt never thought that she would realize the dream of homeownership. A native Chicagoan, Virginia has been working as a forklift operator with Graham Packaging for 33 years. She wanted to provide more space for her family, but wasn’t sure she could afford a home.

Thanks to Mercy Portfolio Services (MPS) and Chicago’s Neighborhood Stabilization Program, Virginia was able to make her dream a reality by purchasing a 2,250 square foot, 2-unit greystone for $145,000. Vacant, dilapidated and uninhabitable following a 2008 foreclosure, MPS acquired and rescued this property with the help of the Community Male Empowerment Project (CMEP), a local developer employing ex-offenders and hard-to-reach youth. MPS and CMEP restored the property through extensive repairs, created 20 jobs and helped stabilize the neighborhood.

The growing national foreclosure crisis threatens the social and economic fabric of thousands of communities and families. MPS is helping to address this crisis at multiple levels: • Facilitating the acquisition, rehab and reoccupation of foreclosed homes in Chicago; • Providing technical assistance and a state-of-the-art software platform to support national foreclosure remediation; and • Preparing to launch a fund to help families save their homes from foreclosure.

In 2010, as part of Chicago’s $169 million Neighborhood Stabilization Program, MPS acquired and began to work with developers to rehabilitate 413 units of foreclosed property in 22 neighborhoods. This work created more than 350 jobs, while protecting neighboring home values and restoring homeowner confidence. Ultimately, this program will help thousands of people like Virginia by acquiring and rehabilitating up to 2,500 units of foreclosed property.

To qualify to buy an NSP home, the buyer’s annual household income must be at or below 120 percent of the area median income. In addition, buyers are required to attend eight hours of home-buying classes. After completing all the requirements, Virginia was able to purchase a home for her family in the East Garfield Park neighborhood where she grew up.

“I never thought I could buy a home and look at me now,” said Virginia. “Everything was made available to me to make this dream a reality. I really appreciate the opportunity I was given.”

MPS also builds capacity and supports foreclosure remediation work around the country through technical assistance and the Community Central IT platform. Initially developed by MPS and Integratec to manage Chicago’s Neighborhood Stabilization

Crystal Kimbrough and her realtor, Rose Hughes, at the rehabbed home she purchased through the Neighborhood Stabilization Program 44 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Program, Community Central is now being used by 12 other development organizations including the New Orleans Redevelopment Authority and Habitat for Humanity.

“There is currently $1.1 billion in funding being managed using the Community Central platform which will result in up to 10,000 vacant homes being put back into productive use,” said Bill Goldsmith, Mercy Portfolio Services President.

The success of this web-based data and document management, reporting and project management tool has naturally led MPS to consider additional applications. MPS is currently designing Developer Central – a streamlined workflow, document and process management tool for small and medium sized developers.

Finally, MPS is preparing to launch the Mortgage Resolution Fund to help people keep their homes. This fund will enable MPS along with state housing finance agencies and several other national partners to acquire up to 37,000 delinquent mortgages, reduce homeowner principal, provide counseling and ultimately enable thousands of families to save their homes.

“MPS continues to implement innovative, scalable initiatives to address the foreclosure crisis,” said Goldsmith. “It is the quality of our staff, the MPS board of directors, our local and national partnerships and the support that we have received from Mercy “I never thought I could buy a home and look at me now. Housing executive staff and its board that has enabled us to design and implement meaningful responses to I really appreciate the opportunity I was given.” our nation’s foreclosure crisis.” ~ Virginia Watt

45 Resident Services Measuring our impact and strengthening partnerships

In 2010, National Resident Services continued its work with Mercy Housing properties across the country to improve the quality and efficiency in the delivery of services to our residents. Strong Resident Services programming is one of many things that makes Mercy Housing unique and contributes greatly to closing the gap between the supply and demand for affordable housing.

“Mercy Housing’s commitment to provide high-quality Resident Services at our properties is more important than ever,” said Carol Breslau, National Resident Services Vice President. “Our programs are enhancing housing stability, contributing to youth success in school and are increasing resident respect and pride in their communities.”

Through the development of consistent program models, policies and procedures, outcomes and measurements, Mercy Housing is positioning itself to collect and report data that shows our impact and improves our effectiveness.

S PECIFICPROJECTSUNDERTAKENIN 2 0 1 0 INCLUDED : • Developing program models and best practices for family, senior and supportive housing. (See Program Models chart) • Working in tandem with Mercy Housing’s information technology department to identify and implement a social impact management system which will collect and report outcomes of program model implementation to show the impact of services and improve program management. • Developed Operational Excellence Manual and training materials to guide the delivery of consistent high-quality services throughout the country.

“Mercy Housing’s commitment to provide high-quality Resident Services at our properties is more important than ever,” ~ Carol Breslau, National Resident Services Vice President.

46 M ERCY H OUSING A NNUAL R EPORT 2 01 0 Strong Resident Services programming is one of the many things that makes Mercy Housing unique and contributes greatly to closing the gap between the supply and demand for affordable housing. R ESIDENT S ERVICES 2 0 1 0 HIGHLIGHTS :

Community Impact • 37 percent of residents between the ages of 5-17 participate in youth programming Community Impact is a framework that Mercy Housing has created to tell the “whole story” of service-enriched affordable housing, by capturing the social, environmental and economic impacts of our properties and the • 1,500 residents in family properties communities where we are located. participated in job readiness services

We believe that using these kinds of metrics will create a foundation for long-term stability of the organization and • 55 percent of families and nearly 70 percent of senior households accessed food resources enhance our ability to use data to drive the management of our programs and increase our ability to articulate the value of Mercy Housing’s work to • 41 percent of senior residents participating in internal and external audiences. National Resident Services Program Models programming increased their healthy behaviors • Nearly one in three residents in family Strategic Health Care properties, and eight out of ten residents in senior properties participated in community services Partners • Housing Stability • Out of School Time • Lease Education Programs Through our Strategic Health Care • Eviction Prevention • Educational Support • CommunityComm Service • Financial Stabilitybility Partners, we are creating new • LeadershipLeade

models to make housing the • Financial Literacyeracy • PhysicalPhysic Activity Residents Participating in Services • EITC foundation for delivery of health • Employment 16,000 Economic 14,349 care for the most vulnerable Education populations. While in the past we Development 14,000 have been successful in helping 12,000 11,112 our partners develop housing, 10,000 most recently we have focused on 8,458 8,000 cataloging best practices in 6,340 HltHealth and 6,000 housing and health care and Community Wellness providing guidance to those 4,000 3,148 interested in assessing the • Community Participationicipation • AdvocaAdvocacyc and Transition 2,000 feasibility of building housing in • Community Eventsents PlanninPlanningg 0 their communities. • Safety Issues • HealHealthth Supports Total Community Economic Education Health and • Volunteerism • HHealth lth Education Served Development Wellness • Voter Registration • Food

47 ANNUAL REPORT 2010 THANK YOU

Mercy Housing is grateful to the individuals and organizations listed as donors in our 2010 Annual Report. If errors or omissions exist, please accept our apologies. To update a listing, please call 1.866.448.3264 or email [email protected]. We welcome contributions at our national office in Denver and our regional offices across the country.

Thank you for your generous support in 2010. Thank you for investing in Mercy Housing and bringing our mission to life. Your support and commitment to Mercy Housing is critical to our success. And because you are here, people live in hope.

48 M ERCY H OUSING A NNUAL R EPORT 2 01 0 peoplepeople livelive inin hopehope

… BECAUSE YOU AREHERE. National Office Mercy Housing Northwest Mercy Housing Washington Management Group 2505 Third Avenue, Suite 204 Mercy Loan Fund Seattle, Washington 98121 206.838.5700 1999 Broadway, Suite 1000 Denver, Colorado 80202 Idaho 303.830.3300 540 North Eagle Road, Suite 117 Eagle, Idaho 83616 Mercy Housing California 208.939.6838 San Francisco 1360 Mission Street, Suite 300 Mercy Housing Southeast San Francisco, California 94103 Atlanta 415.355.7100 621 North Avenue, Suite A-150 Atlanta, Georgia 30308 Los Angeles 404.873.3887 1500 S. Grand Ave., Suite 100 Los Angeles, California 90015 Savannah 213.743.5820 1826 Florance Street Savannah, Georgia 31415 Sacramento 912.401.0008 3120 Freeboard Drive, Suite 202 West Sacramento, California 95691 Washington D.C. Office 916.414.4400 1101 30th Street NW, Suite 250 Washington, DC 20007 Mercy Housing Lakefront 202.495.7402 Mercy Portfolio Services 120 S. LaSalle, Suite 1850 Chicago, Illinois 60603 312.447.4500 mercyhousing.org

Mercy Housing Mountain Plains For more information, please contact Colorado [email protected] 1999 Broadway, Suite 1000 Denver, Colorado 80202 Graphic Design: 303.830.3300 Grindstone Graphics Agency, Inc. Arizona www.grindstonegraphics.com PMB 256 4802 E. Ray Road, Suite 23 Photography: Phoenix, Arizona 85044 This report features original images taken 602.952.9525 specifically for Mercy Housing. Photography by Chris Schneider Nebraska Additional Photography by Mercy Housing 6816 S. 137th Plaza Omaha, Nebraska 68137 staff, Michael O’Callahan, Bridgette 402.393.2096 Sullivan, Mitch Bowers Live in Hope