KeyBank Renews Focus on Access, Equity Issues in Underserved Communities
KeyBank is increasing its commitment to communities in Connecticut, Massachusetts, and elsewhere to $40 billion, with a continued focus on providing economic access and equity for underserved communities.
The bank launched its National Community Benefits Plan in 2017 with a goal of providing $16.5 billion over five years in lending and investments throughout its market across 15 states—but surpassed that in 2020 when it reached the $18 billion mark.
Some of the highlights of the program’s first four years include:
- Investing more than $258 million in affordable housing and community development projects, including the St. Martin Townhouses in New Haven and the Westbrook Village Apartments in Hartford
- Providing $169 million in mortgage lending to low- and moderate-income communities
- Originating $99 million in small business loans to businesses that are part of low- and moderate-income communities
- Making more than $3.79 million in transformational philanthropic investments in neighborhoods through grants to nonprofits, including the Connecticut Center of Arts & Technology in New Haven, New Haven Works, Hartford Promise, The Workplace in Bridgeport, and the Stamford Boys & Girls Club
KeyBank’s aggregate nationwide investments under its Community Benefits Plan will include $36 billion for economic equity and inclusion.
Bank officials say they will continue the bank’s commitment to provide affordable housing, mortgages, small business lending, and other philanthropic steps, including supporting homeownership by investing in down payment assistance.
This effort will include hiring, career development, and increased spending with diverse suppliers.
KeyBank is also committing $4 billion to renewable energy and sustainability—adding to more than $15 billion in renewable energy investments the bank has made since 2015.
KeyBank said it will work with community leaders and organizations to develop specific plans for each market it serves.
KeyBank’s $40 billion commitment comes as the Office of the Comptroller of the Currency awarded the bank its 10th consecutive “outstanding” rating for reaching the highest standards of the Community Reinvestment Act.
“Corporate citizenship matters—it matters for our communities, for our clients, and for our colleagues,” KeyCorp president and CEO Chris Gorman said.
He said the bank’s Community Benefits Plan has provided access to capital for “neighborhoods and neighbors who have often faced unfair barriers to financial support.”
“Doing our part to address social justice and racial equality, increasing environmental concerns, and an international pandemic with disproportionate impact on low- and moderate-income communities is both an opportunity and an obligation,” Gorman said.
“KeyBank has a long-standing commitment to the Connecticut and Massachusetts market,” said James Barger, KeyBank’s market president for Connecticut and Massachusetts.
“We live and work in the communities we serve and and have a proven track record of helping clients and communities thrive.”
Read more here about KeyBank’s philanthropic work.
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