Creating partnerships for goodDear Friends:

For 25 years, CHN has built healthy communities by helping people who face severe challenges locate quality homes, integrate into stable neighborhoods, and rebuild the foundation of their lives. We could never have imag-ined from modest beginnings as a housing development organization of the ADAMH Board of Franklin County that Community Housing Network would earn a reputation as one of the nation's leading providers of permanent supportive housing. Yet today CHN serves nearly 2,200 individuals in nearly every corner of Franklin County.

Back in 1987, communities were ill-prepared to offer care in the community to individuals released from mental health hospitals. The nation's largest health-care philanthropy, The Robert Wood Johnson Foundation, chose CHN to pilot a local solution to deinstitutionalization. What we created together became a national movement for sup-portive housing for people disabled by mental illness, substance addiction and homelessness. Since then, CHN has grown into an independent, not-for-profit organization holding real estate assets worth $43 million.

As a pioneer in affordable housing, CHN has had a tremendous impact:• For clients – recovery and independence • For the community – high-quality housing and reduced need for high-cost emergency care, homeless shelters and institutionalization.

Through the years, more than 50 agencies and non-profit organizations have provided the social, health and employment services that enable us to achieve our mission. It gives us great pride to know that with their help, men and women are now leading fulfilling lives. Children who grow up in our housing enjoy nurturing starts in life thanks to CHN housing communities.

Community Housing Network ends our first quarter-century with a solid strategy to meet new challenges and serve the next generation of residents. You will read more about our strategic plan on page 5.

It's astonishing how much we do together to serve our clients and community.

We look forward to many more successful years together.

Sincerely,

Susan Weaver Charles H. McCrearyChief Executive Officer Board Chairman

Our Mission

Community Housing Network develops, owns, and manages housing across Franklin County, Ohio. We rent affordable apartments to people disabled by mental illness, substance addiction and who have histories of homelessness. CHN strategi-cally engages with service agencies that connect residents to the services they need. Our goal is to help people with special needs keep their housing and have access to employment programs.

Number of residents

now living inCHN housing

Number of apartments

owned or managed by CHN

Number of CHN housing

locations

Millions of dollars in total

corporate assets

I hope you share our pride in reaching our 25th anniversary because we could not have done it without you.

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Second chances open doors to independenceCommunity Housing Network believes that everyone deserves a second chance. CHN’s former resident, Chaundra Epps, turned her second chance into first-rate opportunities. She is a graduate of Capital University and has a good job as a claims representative for a government agency. Her 11-year old son, a math and science wizard whose sights are set on a career in engineering, attends a private, college-preparatory academy.

Chaundra exudes self-confidence and determination. Yet her successes were far from assured. Nearly 20 years ago, her life was unraveling. She suffered depression so severe that she lost her job. Unable to earn a living, she fell behind in rent and lost her apartment. This woman who grew up in a nice home in a middle-class family was now homeless. “When I lost everything, I thought ‘I am officially in hell,’ “ she said.

After seeking help at a local mental health center, she was referred to Community Housing Network. That's when Chaundra's life turned around. CHN staff and service providers “helped me to have stability and confidence.”

“I had a safe place to come home to even if I felt bad. The housing coordinator checked on me, and if I wasn't doing well would reach out to my case manager. I knew there was someone caring and watching over me.”

That support enabled Chaundra to work through her recovery and become strong enough to work, raise her son, and go to school. Armed with a diploma, Chaundra landed her first full-time job in two decades. Before long, she was earning too much money to remain in CHN housing. “When they said I had to move, I was devastated.” Now she resides happily without CHN's support.

Chaundra traces her good fortune to CHN. “I enjoy getting up every day. Where I have travelled to get here has made me more appreciative and made me more aware of others' needs,” she said.

When you support CHN, she said, “You're helping individuals, whether struggling with mental illness, drug dependency or everyday financial hardship, to get into some place stable that they can afford and lead a productive life.”

Chaundra's second chance has become her son's first chance. “That opportunity wouldn't have been there without the door to stable housing. It opened up everything.”

“They helped me take on more challenges,” Chaundra said.

1987

Community Housing Network

is founded by Alcohol, Drug and

Mental Health Board of Franklin

County.

1998

Expands mission to provide supportive housing to those with addiction-

related disabilities and histories of homelessness.

1989

First tenant moves into CHN housing at

115 Belvidere Ave.

2007

Led change in state laws to permit use of mental health housing funds in

tax credit projects, paving the way to

renovate 414 units. 3

Community Housing Network's latest endeavor, Inglewood Court apartments, opened in spring 2013 on the west side of Columbus. As a Rebuilding Lives project supported by the Rebuilding Lives Funder Collaborative, Inglewood is reserved for people disabled by mental illness and histories of homelessness. CHN partners with Maryhaven to provide a full range of support, including counseling, basic life skills, budgeting, and employment services.

The site has easy access to public transportation, convenient shopping and employment areas. The building is designed in the American lodge style and provides 60 one-bedroom apartments and common space for 24/7 security, on-site support staff, and tenant services. Amenities include a community room with a full kitchen; computer center; fitness center; entertainment room; patio and picnic shelter; group meeting room; and offices for social workers and a nurse.

Funding was provided by City of Columbus, Ohio Housing Finance Agency, Franklin County, U.S. Department of HUD, Ohio Capital Corporation for Housing, KeyBank, ADAMH Board of Franklin County, and Community Shelter Board.

New homes and helping hands at Inglewood Court

CHN builds on history with latest development When Community Housing Network's latest building rises at 550 E. Rich Street, it will evoke the last half of the nineteenth century, but offer the amenities of a state-of-the-art supportive housing development.

Located in Columbus' East Town Street Historic District, the apartment building will replace a surface parking lot with a beautiful structure that echoes the neighborhoods' brick Italianate and Queen Anne dwellings that were once home to the city's prominent business owners, political figures and professionals.

Major funding for the $6 million project will come from the Ohio Department of Mental Health and Addiction Services, ADAMH Board of Franklin County, the Ohio Housing Finance Agency, City of Columbus, Federal Home Loan Bank, Franklin County, and Ohio Capital Corporation for Housing. All 40 units will be rent-subsidized by the Columbus Metropolitan Housing Authority. The one-bedroom apartments will house an on-site manager.

To encourage recovery and employment, Hawthorn Grove will feature a computer room, TV lounge, exercise area, community kitchen and lounge, and bike storage. ADAMH system providers will offer on-site supportive services to residents, including recovery and wellness-related programs. The urban location is ideally situated near public transportation, parks and community resources, including the Columbus Metropolitan Library.

4

2010

Dogwood Glen opens, the first

new-construction housing project to re-

ceive capital funds from Ohio MHAS along with

housing credits.

2011

Begins massive preservation plan

to rehabilitate over 400 units.

2008

Southpoint Place opens: the first

supportive housing development

for both individuals and families

in Franklin County.

2009

Moved office to a single location in the Grandview Heights

area to accommodate more than 100

staff and resident training sessions.

The wooded site provides a secluded, peaceful living environment.

We will break ground on Hawthorn Grove in summer 2014 and be ready to welcome residents the following year.

From the classroom to the community: Better consumer careCommunity Housing Network is helping to raise the professional standards and quality of care in supportive housing through a new collaboration with Columbus State Community College. In spring 2013, the college launched a supportive housing course to bridge the gap between classroom knowledge and practical experi-ence for students interested in a career in mental health and addiction services.

Taught by a staff member at CHN, the course engages students with residents of supportive housing communi-ties, with crisis intervention programs at Netcare, and with the Columbus police's Crisis Intervention Team of uniformed officers.

So far, 30 students have enrolled in the program.

Beginning in early 2014, community organizations will collaborate in designing a certificate program to train residents of supportive housing. Graduates of the certificate program will be ready for entry-level supportive housing positions. Consumers benefit from peer-support counselors who have successfully dealt with mental health problems themselves, and this new program will align with the best practices in mental health and recovery treatment.

In addition to CHN, organizations providing input into the curriculum with the CSCC faculty are: Goodwill Columbus, Volunteers of America, Concord Counseling, Amethyst, COVA, National Church Residences, Corporation for Supportive Housing, Community Properties of Ohio, The PEER Center, and Community Shelter Board.

Getting better at doing goodFor 25 years, CHN has been a leader in providing safe, affordable housing linked to supportive services for people with disabilities and other special needs. Our housing model is considered among the industry's best practices. But to continue being an innovator required us to seize opportunities arising from market trends, including explosive demand for housing at a time of shifting funding policies.

This year CHN management undertook a strategic planning process that assessed and adjusted our organiza-tion's direction in response to these challenges. During the months of planning that involved our Board of Trustees, staff, residents and stakeholders, we reaffirmed our business model: focusing on developing and expanding the community's supportive housing assets, while engaging service providers to connect our residents to essential services.

To accomplish this, we are working closely with our partner agencies to provide best-in-class services, establish clear performance outcomes and ensure accountability. Other strategies will enhance our organization's techno-logical, financial and human resources infrastructure to grow efficiently and effectively.

Implementing these strategies will take us to the next level of growth to achieve our mission for years to come.

Most important, we want our residents to experience the highest-quality services delivered in a manner that is easiest for them to access.

5

Over time, more people coming into the workforce will be better prepared, and that translates to better consumer care.

6

Housing preservation halfway to completion

Aging CHN units have been given a new lease on life. We have now rehabilitated one-half of the units in our six-year plan to preserve 414 apartments in 81 buildings. Critically, this year CHN also received tax credit financing on the final phase to start in late 2014.

We have owned many of our apartments for more than 15 years. They require major rehabilita-tion to protect the community’s initial investment. CHN renovations to apartment buildings include new roofs, windows, HVAC systems and landscaping. In addition, security features and energy efficiency are enhanced. Inside, modern kitchens and bathrooms, new flooring and fresh painting complete the total make-over.

To enable CHN to complete the preservation in phases over multiple competitive funding rounds, the affordable housing and special needs community funders came together to support the project with financing commitments. In particular, the Ohio Housing Finance Agency determined that because the project had such strong community support, it could receive commitments from a special set-aside source, allowing CHN to rely on several rounds of funding in an otherwise competitive process.

These assurances also enabled CHN to obtain bridge financing from the Ohio Preservation Compact and the Affordable Housing Trust for Columbus and Franklin County. Ours was the first loan from the Compact’s loan fund.

The project’s unique complexity and multi-year duration represented a risk for the loan fund and CHN. Yet with good-faith commitments from all parties, the loan will be repaid on schedule in October 2014.

The Columbus Metropolitan Housing Authority granted new subsidy contracts and extended exist-ing contracts for 15 years. Additional funding came from the City of Columbus, Franklin County, the Ohio Department of Mental Health, the Alcohol, Drug and Mental Health Board of Franklin County, the Federal Home Loan Bank of Cincinnati, and from numerous private enterprises investing through the Ohio Capital Corporation for Housing.

Through the end of 2015, CHN will invest $55 million in six Columbus-area neighborhoods. Remarkably for a project of such scale, the renovation is on schedule and on budget, a reflection of our staff’s capabilities and contractors’ dedication.

Materials have been meticulously selected to ensure durability and reduce expenses.

Housing preservation is an investment in the community asset of affordable housing – and in residents' quality of life.

Units rehabilitated and preserved

Before

After

Projected

The investment is already paying off in lower maintenance costs.

7

Statements of Activities & Changes in Net Assets

Copies of the audited financial statements are available upon request.

12/31/12 12/31/11RevenuesRental Income $ 1,431,627 $ 1,701,789Grants from government and other agencies Rent subsidies 3,231,846 3,623,337 Supportive services 7,204,857 6,260,661 Investment in project entities: Forgiveness of debt 261,000 0Development and Management fees 2,786,195 1,371,934Other income 882,478 1,006,481

15,798,003 13,964,202

ExpensesProgram Services: Service enriched housing 7,252,729 6,746,243 Other housing models 3,230,928 3,596,324 Property management 140,197 178,182 Real estate development 460,734 322,567

11,084,588 10,843,316

Management and general 759,582 765,316Impairment loss-investment 209,630 324,526in project entity 12,053,800 11,933,158

Change in net assets Net assets, beginning of year 3,744,203 2,031,044Net assets, end of year 29,708,132 27,677,088

$ 33,452,335 $ 29,708,132

Statements of Financial Position

12/31/12 12/31/11AssetsCurrent Assets Cash $ 318,489 $ 564,771 Cash - designated 3,214,646 2,027,970 Accounts receivable: Trade, net 208,511 36,738 Tax credit projects 1,227,553 457,835 Grants and subsidies, net 188,550 248,861Prepaid expenses 116,933 93,065

5,274,682 3,429,240

Property and equipment, net 20,409,829 20,980,531Other assets 18,025,822 15,780,785 $ 43,710,333 $ 40,190,556

LiabilitiesCurrent Liabilities Accrued expenses and liabilities $ 1,071,541 $ 1,134,293 Deferred rental income 108,862 197,788 Notes payable 1,091,132 172,914 2,271,535 1,504,995Long-term Liabilities, less current maturities Tenants' security deposits 218,841 231,863 Line of credit 375,365 375,365 Notes Payable 7,392,257 8,370,201

7,986,463 8,977,429

Net Assets Unrestricted Net Assets 15,051,312 12,158,225 Temporarily restricted net assets 18,401,023 17,549,907

33,452,335 29,708,132

$ 43,710,333 $ 40,190,556

WORTHINGTON

HILLIARD

GRANDVIEW HEIGHTs

GROVE CITY

GROVEPORT

REYNOLDsBURG

WHITEHALL

GAHANNA

NEW ALBANY

OBETZ

BEXLEY

UPPERARLINGTON

0 - 4 units5 - 8 units9 - 12 units13 - 16 units17 - 80 unitsgroup homes

Unit Density

CHN owns and operates more than 1,700 units of supportive housing in the City of Columbus and 6 suburban communities throughout Franklin County.

360 Children under 18

859Adult females

959Adult males$6,902

Average income

$4,367Average

income at move-in

65% Black

33% White

Hispanic, Asian, or other2%

2,178 Total residents––––––– ––––

100% Disabled / special needs

66.8% From homeless situations

33.2% Non-homeless situations

Funders

The Affordable Housing Trust for Columbus and Franklin County

Alcohol, Drug and Mental Health Board (ADAMH) of Franklin County

The Columbus Foundation

Community Shelter Board

City of Columbus

Columbus Metropolitan Housing Authority

Donations and Contributions

Federal Home Loan Bank of Cincinnati

Franklin County Board of Commissioners

Nationwide Insurance Foundation

Ohio Capital Corporation for Housing

Ohio Development Services Agency (formerly Ohio Department of Development)

Ohio Department of Mental Health and Addiction Services

Ohio Housing Finance Agency

Ohio Preservation Compact

Osteopathic Heritage Foundations

The Reinberger Foundation

Robert Wood Johnson Foundation

U.S. Department of Housing and Urban Development

United Way of Central Ohio

Partners & Collaborators

A1 Staffing

Access Ohio

AIDS Resource Center Ohio

Alcohol, Drug and Mental Health Board of Franklin County

Amethyst, Inc.

Center on Vocational Alternatives (COVA)

Central Ohio Area Agency on Aging

Children's Academy

Choices

Columbus Area, Inc./Pathways

Columbus Coalition for the Homeless

Columbus Metropolitan Housing Authority

Columbus Neighborhood Health Center, Inc.: Health Care for the Homeless

Columbus, Ohio Division of Police

Columbus Urban League

Community Properties of Ohio

Community Research Partners

Community Support Network

COMPASS Program, Broad Street Presbyterian Church

Concord Counseling Services

Central Ohio Workforce Investment Corporation (COWIC)

Dublin Counseling Center

Franklin County Department of Job and Family Services

Franklin County Veterans Service Commission

Goodwill Columbus

HandsOn Central Ohio

Briggsdale Apartments

Dogwood Glen Apartments

East Fifth Avenue Apartments

Holt Avenue Apartments

Inglewood Court Apartments

North 22nd Street Apartments

Organizations Represented on Community Advisory Groups & Other Community Advisors

Campus Partners for Community Urban Development

Children's Academy

City of Columbus

City of Columbus City Neighborhood Liaisons Program

Columbus, Ohio Division of Police

Columbus Public Health

Columbus Urban League

COMPASS Program, Broad Street Presbyterian Church

Council of South Side Business Organizations

Driving Park Area Commission

East Columbus Civic Association

East Fifth Avenue Business Association, Inc.

Eastfield-Westfield Block Watch

F&W Properties

Franklinton Pride Center

Gladden Community House

Greater Hilltop Area Commission

King Lincoln Bronzeville Association

Krumm Park Recreation Center

The Long Street Business Association

Mt. Vernon Avenue District Improvement Association, Inc.

Near East Area Commission

Near East Pride Center

North Central Area Commission

North Linden Area Commission

Northeast Area Commission

Parsons Avenue Merchants Association

Parsons Baptist Church

Reeb Hosack Area Planning Committee/Steelton Village

Scioto Community Nursing Home

Scioto Southland Civic Association

Shenandoah Partnership

South Side Pride Center

South Side Settlement House

Southside Neighbors Against Crime

Southwest Area Commission

St. Mary of the Springs

Starr Columbus, Hannah Neil Center for Children

University Area Commission

University Community Business Association

Board of TrusteesCharles McCreary ChairmanBricker & Eckler LLP

Blaine BrockmanVice ChairBrockman Legal Services

Clark L. LloydSecretary/TreasurerNationwide Investments

Adam HeeterOxford Consulting Group, Inc

Robert OakleyRetired, Nationwide Insurance

Senior ManagementSusan E. WeaverCEO

Anthony PennChief Operating Officer

Sue GreenwayFinance Director Samantha Shuler, Esq.Development & Asset Management Director Kathy HatfieldGrants & Data Management Director

Cynthia MercerHuman Resources Director

Hamilton Local School District

Hina Environmental

Homeless Families Foundation

Huckleberry House, Inc.

IMPACT Community Action

Kleingers

Lutheran Social Services

Lutheran Social Services - Faith Mission

Lutheran Social Services - Nancy's Place

Maryhaven

Maryhaven Engagement Center

Maryhaven Women's

MCR Services

Mental Health America of Franklin County

Metropolitan Community Services: T.O.U.C.H.

Multiethnic Advocates for Cultural Competency

NAMI Franklin County

NAMI Ohio

Netcare Access

North Central Mental Health Services

North Community Counseling Centers, Inc.

The Open Shelter, Inc.

The P.E.E.R. Center

Rebecca's Place

Southeast Inc., Friends of the Homeless

Southeast Inc., Recovery and Mental Health Care Services

Twin Valley Behavioral Healthcare

U.S. Department of Veterans Affairs

Volunteers of America of Greater Ohio

YMCA of Central Ohio

John RoyerKohr Royer Griffith

Jay ShawWagenbrenner Development

Mari SunamiRetired, South Side Settlement House

Judge G. Gary Tyack Judge, Tenth District Court of Appeals

Dean WeinertMutual Federal Savings Bank

Susan E. WeaverCEO, Community Housing Network, Inc.

North High Street Apartments

Parsons Avenue Apartments

Safe Haven

Southpoint Place Apartments

St. Clair Hotel Apartments

1680 Watermark DriveColumbus, Ohio 43215614 487 6700 | www.chninc.org

Programs with Community Advisory Committees