The ever rising real estate prices are hitting a lot on charities. Most non-profit organizations are dependent on donations and grants from the public and the government for their survival. But the rising prices in most American cities such as San Francisco are forcing some charities to either close shop or dig deep into their pockets to meet their rental obligations. Others are opting to shift to more affordable places. But why is mostly happening in California?
California consists of almost every type of nonprofit organizations such as childcare organizations, medical services, tax help and adult job training to name but a few. The charities help low-income families get basic services or other items which otherwise they could not achieve on their own.
When such charities are forced to close down due to the huge rental costs, then the Californians who are dependent on them are left without any help or are forced to pay for such services on their own knowing very well they cannot afford such services and items. The rising rents also affect consumers thus creating a multi-tiered financial crisis for them.
San Francisco is one of the cities in America which boasts of the highest per-capita income. The city has experienced an ever increasing economic growth since the Great Recession making its real estate market one of the most expensive in the country. This forms an attractive venture for real estate investors such as Omar Yunes to invest in the city. However, for the city’s residents who depend on charities, this spells trouble as high rents will drive charities away. To know more about him click here.
As a way of alleviating the problems faced by nonprofit organizations in San Francisco due to the problems of rent, the city’s mayor, Ed Lee awarded $2.7 million to local charities to cater for their rental expenses. The Mayor also promised to seek more money in the near future for the city’s nonprofit organizations.
The Mayor also set aside $6 million which will be distributed to qualified charities in the next two years. This money can be used by the organizations to buy their buildings rather than renting.
About Omar Yunes
Omar Yunes is a successful businessman. He is the franchisee of Itto Sushi a Japanese food chain that owns thirteen franchise units which are located in Veracruz, Mexico City, and Puebla. Having started the franchisee at a young age of 21, he has grown it to become one of the most successful businesses in Mexico. Mr. Omar Yunes was the overall winner of the 2015 Best Franchise of the World award (BFW) which was held in the City of Florence, Italy. Over 34 countries graced the event.