From Hedge Fund to Homeownership: A North Minneapolis Home Reborn Through Community Partnership
MINNEAPOLIS, MN - On a quiet block in North Minneapolis, a once-neglected house now tells a different story of restoration, partnership, and hope for the future.
Just a few years ago, a home on the 3500 block of Irving Avenue North was one of hundreds of single-family homes owned by a national hedge fund that left Minnesota tenants living with broken furnaces, leaking roofs, and pest infestations. Today, the home has been completely renovated and ready to welcome a new owner, thanks to the work of Land Bank Twin Cities, Inc. and its development partner, PRG, Inc.
“This project shows what is possible when we can acquire, hold, and finance rehabilitation so families can access affordable homeownership,” said Aarica Coleman, President and CEO of Land Bank Twin Cities. “By filling the gaps in a real estate system that too often keep people out, we create the conditions for stability, equity, and ownership. This is what our model was built to do.”
The home is part of the Brick by Brick initiative, which grew out of Minnesota Attorney General Keith Ellison’s 2022 lawsuit against and 2024 settlement with HavenBrook Homes. The hedge fund had purchased hundreds of houses across Minnesota, collecting rent while letting the properties fall into disrepair. When the court required HavenBrook to sell off its holdings, Land Bank Twin Cities stepped in to make sure those homes would not be purchased again by speculative investors.
Land Bank Twin Cities acquired the property and loaned more than $200,000 in rehabilitation financing directly to PRG, allowing the nonprofit developer to complete hazard remediation, energy efficiency upgrades, and a full renovation. That capital investment demonstrates Land Bank Twin Cities’ lending function in action, and its unique role as a real estate and finance intermediary by deploying mission-driven capital into stabilize neighborhoods.
Attorney General Ellison, Minneapolis Mayor Jacob Frey, and Minnesota Housing Commissioner Jennifer Ho joined community partners in September to celebrate the first completed home by a non-profit developer in the portfolio.
“There are few things more important in life than having a safe place to call home, but HavenBrook's negligence caused its tenants to live in appalling conditions,” said Attorney General Ellison. “I sued them, won back over $4 million for their tenants, and got HavenBrook to leave Minnesota. I am grateful to the nonprofits that stepped in to repair these homes and get them on the market at affordable rates. Together, we are building a Minnesota that puts people's needs over hedge-fund profits.”
What was once a symbol of neglect is now a move-in-ready home for a new family to build stability and wealth.
Home details:
- 3 bedrooms, 2 bathrooms, 1,325 finished square feet
- Detached two-car garage
- Acquisition cost: $199,906
- Renovation cost: $202,314 in hazard remediation, energy upgrades, and improvements
- Sale price: $279,900
- $25,000 down payment assistance available for income-qualified buyers
“This is more than just a single home,” said Kirstin Burch, executive director of PRG, Inc. “It is about showing what can happen when nonprofits, philanthropy, and government work together toward housing equity.”
The Irving Avenue home is the first in a growing pipeline. Land Bank Twin Cities has already advanced three additional properties for rehabilitation and resale, turning investor portfolios into pathways to homeownership.
This project demonstrates the strength of the Land Bank Twin Cities model: acquire properties that private markets overlook, provide the financing needed to rehabilitate them, and partner with trusted developers to bring them back for community benefit.
Land Bank Twin Cities extends its appreciation to Attorney General Keith Ellison, Minnesota Housing, the City of Minneapolis, the McKnight Foundation, and PRG, Inc. for their shared commitment to rebuilding trust, equity, and opportunity in communities that have long been excluded from ownership.
In the News
Hundreds of Minnesota homes neglected by hedge fund are now in hands of nonprofits
Star Tribune | Susan Du
This story examines the fallout from HavenBrook’s neglect and how the Attorney General’s lawsuit opened the door for nonprofits to intervene. It connects the issue of investor-owned homes to the rehabilitation on Irving Avenue and emphasizes accountability and neighborhood recovery.
Read the story
From slumlords to single families: New ownership for renovated rentals
FOX 9 | Corin Hoggard
This report focuses on tenants’ experiences under investor ownership and the transition to nonprofit-led rehabilitation. It highlights acquisition and renovation details, community voices, and how subsidies make ownership attainable.
Watch the story
FOX 9 Video Segment – New ownership, renovated rentals
FOX 9 | Corin Hoggard
A visual companion to the written story featuring before-and-after footage, home walkthroughs, and interviews with leaders. The segment captures the emotional transformation of the property and the broader impact of returning homes to families in North Minneapolis.
Watch the segment
