Questions for Funders & Investors
The following checklist is designed to help funders and investors gauge the promising factors of a particular project or community in order to evaluate its overall readiness for investment. For funders, this checklist also presents an opportunity to use grantmaking, convening, or other tools to help get the project ready for investment. For example, if the project lacks a thorough market analysis or sustainability plan, grant dollars could help the project team get the right assessment completed so that the project can move forward.
Leadership: Is there a strong, complete team (spotter, framer, engager, developer, primary contact, and other necessary stakeholders)?
Local Investment: Have local residents invested significant resources or funds and do they show they have a serious stake in ensuring it succeeds (i.e., skin in the game)?
Investment Capacity: Do local stakeholders show a general understanding of how investment works, or have they brought on team members with this understanding or expertise?
Market Analysis: Has a thorough analysis been performed identifying local assets, opportunities, constraints, and risks?
Demand: Has a thorough analysis been performed indicating demand for particular downtown uses (e.g., co-working space, restaurant, etc.) with an acceptable return on investment?
Community Engagement: Have diverse members of the community been included in shared visioning and the market analysis for demand? Do those included in planning and market analysis accurately and proportionately represent the true demographics of the community including diversity of age, race, gender, orientation, religion, ability, and economic status?
Existing Built Infrastructure: Will the existing built infrastructure support this development?
Investment Ecosystem: Have they begun to develop a pipeline of investable projects? How do they hold themselves accountable for aligning those projects with key community priorities?
Stages of Investment: Has the project under consideration genuinely arrived at the Stage of Investment appropriate for the size and type of capital that is a timely match with the particular type of funder or investor with whom the project leadership is negotiating?
Attention to Financial and Social Sustainability: Is there a feasible plan in place to maintain and manage the development after it is completed? Will the final product be financially and socially sustainable long-term?