Mission Realty Advisors News
New nonprofit group helps International Institute develop housing for immigrants, refugees
James Drew – Reporter, St. Louis Business Journal
Jun 3, 2024
A new nonprofit group is working with the International Institute of St. Louis to help it potentially develop housing for immigrants and refugees.
Summit Real Estate Group last fall launched the nonprofit, Mission Realty Advisors, to provide community-based nonprofits with consulting and development services including budgeting, contractor selection, and capital and funding source strategies.
Led by Executive Director Peter Kinsella, Mission Realty Advisors is evaluating options for the Institute that could include the acquisition or construction of transitional and rental housing for new arrivals, and possibly opportunities for home ownership. Those options would be presented to the Institute’s board of directors, which would decide whether to proceed to look for investors.
“If we are going to raise capital to invest in a housing initiative by way of building and developing or purchasing, we want to ensure it works for us — meaning that we don’t want to carry a burden or a cost that is not going to make financial sense for us,” said Arrey Obsenon, president and CEO of the International Institute.
The Institute works with a network of landlords to house refugees and landlords in St. Louis, but sometimes it doesn’t get more than 24-hour notice of families’ arrivals. That forces the Institute to pay for hotels and motels, with the cost for a week in some cases exceeding the cost of an apartment for three months, Obenson said.
“So it would make a lot of sense if we had 40 or 50 units as transitional housing so that once we stabilize a family, we can move them to more permanent rental housing, making sure we put them in a job,” he said.
Last year, the Institute leased 239 units to settle refugees with an average rent of $968 per month. A federal program provides an allowance of $1,125 per person over three months, but it must cover spending money, a security deposit, three months of rent, home set-up materials such as furniture and housewares, utilities, and bus passes.
The Institute relies on donations to close the funding gap, which can cost $4,315 for a single person and $3,454 for a family of three, according to an Institute spokesperson.
John Ross, CEO of Summit Real Estate Group, said Mission Realty Advisors was formed to meet demand from nonprofit groups in need of assistance on real estate matters.
John Ross, CEO of Summit Real Estate Group and Pete Kinsella, Executive Director of Mission Realty Advisors
“On the rare occasion that they run into a situation where they have to solve a real estate problem, they don’t have the expertise or the bandwidth typically — and often quite frankly the access to the resources they need nor do they know where to find them,” said Kinsella. A 30-year veteran of commercial real estate, Kinsella moved over to Mission Realty Advisors after serving as a senior vice president development and asset management with Summit Real Estate Group.
Board members of Mission Realty Advisors include Ken Jenkins, chairman of the board of the nonprofit group behind the R&R Marketplace in Dellwood in north St. Louis County; Lou Brock Jr., owner and president of Lou Brock Mechanical Inc.; and Sheryl Sinclair, senior vice president, real estate and facilities at Midwest BankCentre.
In addition to the International Institute, Mission Realty Advisors is working with the Hawthorn Leadership School for Girls and the African Diaspora Council. Mission Realty doesn’t work with nonprofit groups that can afford a for-profit firm for real estate consulting, Ross said. It charges community-based nonprofits $95 an hour and a development fee of 1.5%.
Kinsella said the Institute faces housing challenges given the increasing number of immigrants and refugees it expects to serve. Mission Realty is helping the Institute develop a housing plan and working on budgets to renovate or construct affordable housing, he said.
Obenson said the collaboration with Mission Realty Advisors is a valuable one.
“It’s understanding the needs and the challenges that not-for-profit organizations have. It’s really helpful that an organization like Mission Realty realizes that’s a niche where they can support us to achieve our goals. Without that kind of help, we’d be transforming ourselves into a housing company and that would take us away from our mission,” he said.
According to the Form 990 filed with the IRS covering 2022, the Institute had $17.3 million in revenue, expenses of $17.4 million and net assets or fund balance of $7.8 million.
Mission Realty Advisors Board Member Apollo Carey Recognized in St. Louis Business Journal’s 2024 Champions for Diversity and Inclusion Awards
Mission Realty Advisors proudly announces that board member Apollo Carey has been honored in the St. Louis Business Journal’s 2024 Champions for Diversity and Inclusion Awards. This annual recognition celebrates individuals and organizations advancing diversity and inclusion in areas such as race, sexual orientation, and disability.
Apollo Carey, a member of Lewis Rice LLC, is among 13 individuals, a nonprofit, and a for-profit company recognized this year. His dedication to promoting inclusivity aligns with the awards’ focus on making St. Louis a more welcoming place to live and work.
Congratulations to Apollo for this prestigious recognition and his continued efforts to champion diversity.