Cabarrus County launches $2M Revolving Construction Loan Gap Fund for affordable and workforce housing

Cabarrus County, North Carolina, August 18, 2025

News Summary

Cabarrus County has seeded a $2 million Revolving Construction Loan Gap Fund to provide short-term, low-interest (1%–3%) loans to nonprofits, government entities and mission-driven social ventures building permanently affordable and workforce housing. The fund is designed to close timing and capital gaps during construction, recycle repayments in perpetuity, and accelerate projects that expand homeownership and rental options for moderate- and lower-income households. Loan decisions will be made locally by the Permanent Housing Committee of Cabarrus with technical support from a banking partner. Program details and applications will be posted by the local housing partnership.

Cabarrus County launches $2 million Revolving Construction Loan Gap Fund to back affordable and workforce housing

Cabarrus County has seeded a new Revolving Construction Loan Gap Fund with $2 million to help nonprofits and social ventures build permanently affordable and workforce housing. The fund will offer short-term, low-interest construction gap loans at rates between 1% and 3%, well below normal market levels for attainable housing construction.

What the fund does and who it serves

The fund provides temporary loans that fill the gap between project costs and traditional financing, making it easier for mission-driven builders to move projects from plan to construction. Eligible borrowers include local nonprofit developers, social ventures and government entities working on affordable and workforce housing. Loan decisions will be made locally through the Permanent Housing Committee of Cabarrus, with technical help from a banking partner, F&M Bank.

Amount, terms and how it works

The initial backing is $2 million from county funds. Loans are designed to be short term and low cost, with interest rates set from 1% to 3%. The fund is set up as a revolving pool, meaning loan repayments will be returned to the fund to finance new projects over time. Organizers say this structure aims to keep the money in local projects and reduce reliance on traditional lending systems that can be slow or prohibitively expensive for affordable housing work.

Origins, partners and governance

The idea for the revolving loan emerged from the local housing plan led by WeBuild Concord and moved through the Cabarrus Housing Collaborative. Local advocates with the Cabarrus chapter of a statewide housing group promoted the plan through an issue campaign called One New Fund, Many New Homes, which helped secure county approval. The fund will operate with community input: local nonprofits, government representatives and residents will have a role in steering loan awards through the Permanent Housing Committee, which will receive assistance from F&M Bank on technical and underwriting matters.

Public launch

The public announcement was held on Tuesday, Aug. 19 at 10 a.m. at City Hall, 35 Cabarrus Ave. W., Concord. More details, including application steps and program rules, are available at www.webuildconcord.org, where a dedicated Revolving Gap Loan page hosts full program details.

Why organizers say it matters

Local leaders describe the fund as a tool to address rising construction costs and capital shortfalls that often stall affordable housing projects. By offering lower-cost short-term capital that returns to the pool when repaid, the fund seeks to lower upfront barriers and encourage more projects from mission-driven developers and private partners. Officials also see the fund as a way to spur additional investment beyond public dollars and to support housing that helps local workers and families achieve economic mobility.

Related housing work in Concord

The fund arrives as Concord moves forward on a variety of housing efforts. One nearby project, a new townhome development in the Logan neighborhood, produced 26 three-bedroom, 2.5-bath townhouse units aimed at expanding homeownership. Those units were developed with city, county and federal recovery funds and are reserved for qualifying buyers, with a starting affordable price around $235,000. Most units are set for households at or below 80% of the area median income (AMI), with some units reserved for incomes up to 110% of AMI. The Logan effort used local partnerships but faced delays tied to zoning, engineering and unexpected underground infrastructure work.

Broader context

The county’s new loan pool follows local advocacy and planning efforts intended to create long-term affordable options and shared-equity models. Organizers emphasize collaboration among public, private and nonprofit sectors and say the revolving model is meant to keep capital flowing to community-minded projects that struggle to meet traditional lending standards.

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Frequently Asked Questions

Key features at a glance

Feature	Detail
Fund name	Revolving Construction Loan Gap Fund
Seed funding	$2,000,000 from Cabarrus County
Interest rates	1% to 3% (short-term gap loans)
Eligible borrowers	Nonprofits, social ventures, government entities
Loan type	Short-term construction gap financing
Decision body	Permanent Housing Committee of Cabarrus
Bank partner	F&M Bank (technical assistance)
Announcement date & place	Tuesday, Aug. 19, 10 a.m., City Hall, 35 Cabarrus Ave. W., Concord
More information	www.webuildconcord.org (Revolving Gap Loan page)

Deeper Dive: News & Info About This Topic

Additional Resources

• WCCB Charlotte: New affordable housing development opens in Concord
• Wikipedia: Affordable housing
• Charlotte Observer: Local housing & development coverage
• Google Search: Cabarrus County Revolving Construction Loan Gap Fund
• Pioneer Publishers: Is a Concord housing boom just around the corner?
• Google Scholar: Concord housing boom
• KFVS12: $17.6M housing development to be built in Marion
• Encyclopedia Britannica: Affordable housing
• KFDM: Beaumont City Council approves affordable housing project
• Google News: Cabarrus County affordable housing