SoLa Impact, a Black-led housing developer, has received a $7.5 million investment for its Black Impact Fund from PNC Bank’s community development banking arm.

The money will fund the development of new affordable housing units in Los Angeles and employ more than 3,000 Black and brown communities across southern California.

“We are excited to partner with PNC Bank to address the crisis of housing affordability in California,” Martin Muoto, founder and CEO of SoLa Impact, said in a statement. “Investments like these enable us to build more units to serve more residents of communities that are burdened by high costs of living. This investment allows the Black Impact Fund to continue to scale its production of affordable and workforce multifamily assets, which in turn allows us to reduce the cost of delivering these units. Ultimately, the goal is to deliver superior returns not only to our investors but also to our community.”

The announcement comes as SoLa Impact has raised more than $300 million through the Black Impact Fund. It has also raised from leading institutional investors and community-focused banks, high net-worth individuals, and family offices.

Moreover, SoLa Impact is one of the largest Black-led developers in the state, with more than 1,500 units under management and 3,000 more in the pipeline, a statement reads.

The developer plans to invest at least $1 billion in affordable and workforce housing and are a step closer with the $7.5 million investment.

For PNC Bank, the investment is part of an $88 billion strategy to provide loans, investments, and other financial support to bolster economic opportunities for racialized communities by 2026.

Approximately $14.5 billion of the $88 billion sum has been earmarked for community development loans and real estate investments specifically, a statement reads.