Investment Firm Steinbridge Group Just Made The Largest Investment In This Black University’s History

March 7, 2024 Steinbridge

Investment Firm Steinbridge Group Just Made The Largest Investment In This Black University’s History

EssenceThe Steinbridge Group have joined forces to make a historic investment into the future of countless Black students’ lives. The impact investment company gifted $40 million into the future of countless Black students’ lives.

Virginia Union University announced that Steinbridge will invest approximately $40 million to leverage the potential of 100-acre real estate holdings in Richmond’s North Side.

This is the first rollout of Steinbridge Group’s $100 million commitment to HBCUs and other Minority Serving Institutions (MSIs) which was announced in November 2023.

“Virginia Union is going places we have never been before, statewide and nationally, because students and the community have high expectations of this institution,” said Dr. Hakim J. Lucas, President and CEO of Virginia Union in a news release. “The Steinbridge investment will enable Virginia Union to create new sources of income, which will further strengthen our ability to create opportunities for students and the community. As the oldest African-American-owned, continuously run nonprofit, and as an anchor institution for Northside Richmond, we have a historic responsibility to drive the economic community development of this side of town.”

The move comes after recent data from the U.S. Department of Education revealed that sixteen states have been underfunding their historically Black land grant colleges to the tune of $12B for several years.

“Our commitment to Virginia Union is not merely financial, but it is a declaration of support for the institution and its vision,” said Tawan Davis, Founder and CEO of the Steinbridge Group in a news release. “By partnering with Virginia Union, we are helping to ensure that HBCUs thrive as pillars of excellence and economic possibility today and for generations to come.”

The move is an investment, not a donation, Steinbridge stresses. He said Virginia Union would use the funds to tap into underutilized real estate.

“The executive leadership at Virginia Union University demonstrated a strong capacity to take advantage of this program, and housing barriers in the surrounding community revealed a significant need for more affordable options,” said Dr. Mark Brown, President and CEO of the Student Freedom Initiative in a news release. “The population in Richmond, VA is 44% Black. As property values and tax assessments continue to increase, these community members face growing barriers and many have been forced to sell their homes in areas they have long lived and worked. As the city faces a 35,000-unit housing shortage, this partnership will help many in the community find stability and will help to grow economic potential for the entire region.”

Read the full article at Essence.