Pro Bono Innovators 2025 Honoree Lowenstein Sandler

Lowenstein Sandler’s key pro bono matters include representing Brick by Brick Training & Development Corp. in its $83 million acquisition of 345 single-family properties from a private equity fund to create affordable homeownership for the underserved in Minnesota’s Twin Cities region. You also represented 50 unhoused people in Toms River, N.J., including veterans and people with disabilities, who faced arrest for living in a wooded encampment, following the US Supreme Court ruling in Johnson vs. Grants Pass. How did your firm strategize on how to approach these matters?

Advancing affordable homeownership: Our goal was to create homeownership opportunities for underserved communities, and our strategy focused on designing a governance and financing framework that would prioritize and ensure that low-and moderate-income families, families of color, and first-generation home buyers would benefit from the investment. To achieve this, we created a hybrid structure that blended nonprofit capital, institutional asset management, and commercial lending into a single, mission-driven framework.

Rather than limiting our role to traditional closing mechanics, we got involved in the transaction earlier in the process. We drafted and negotiated operating agreements, established a multi-tiered investment committee, and built community oversight into the sale process to keep homes affordable and neighborhoods stable for the long term.

Our team also coordinated across diverse stakeholders—private sellers, lenders, equity investors, nonprofits, and local governments—to deliver a structure that advances equitable homeownership for historically marginalized communities. By building transparency and accountability into the transaction, we created a model for inclusive urban investment that demonstrates how legal innovation can drive systemic change in housing equity.

Keeping the unhoused safe: We took a holistic and client-centric approach that went beyond preventing criminal liability for our clients. While we were zealous advocates for our clients in challenging the legality of the criminal anti-camping ordinances, our strategy also included collaborating with municipalities to develop permanent solutions that would help our clients and other similarly situated individuals find stable housing. This included negotiating relocation agreements for unhoused residents and drafting a model ordinance that addressed public safety concerns without criminalizing homelessness.

We were also able to connect municipalities with a network of housing and social services providers that we hope will lead to ongoing efforts to address the root causes of homelessness in their communities. Through this multi-prong strategic approach, we were able to deter local officials from relying on criminalization, which only exacerbates the housing crisis and punishes individuals for circumstances beyond their control, and to instead focus their energy and governmental resources on solutions that will lead to more permanent and stable housing for members of their community. The outcome set a precedent for how communities can address homelessness through collaboration, compassion, and structural reform, rather than enforcement-driven strategies.

What were the most innovative aspects of two of your clients’ matters in your view? And who took the lead on driving innovation with the work?

Advancing affordable home ownership: The transaction stands out as a model of innovation in mission-driven structured real estate finance due to its unique capital structure and governance model. It successfully blended capital and operational leadership from three distinct sectors—nonprofits, institutional asset managers, and commercial lending—into a single, cohesive framework that advanced both financial and social objectives. This hybrid approach enabled the deal to achieve both financial rigor and community impact.

At the core of the transaction was a nearly $47 million loan issued by two private lenders. The transaction was designed to accommodate both the borrowed funds and sources of capital that leveraged investments from philanthropic investors, nonprofit organizations, community development financial institutions, and mission-aligned intermediaries.

Further, asset management responsibilities were delegated to a coalition of experienced nonprofits under a formal agreement that allowed them to manage properties from acquisition through disposition. This structure provided professional oversight while maintaining accountability to community stakeholders. The collaborative model ensured that operational decisions were informed by both market expertise and mission alignment.

Supervised by Lowenstein’s chair of the Mortgage & Structured Finance group, the team included associates from that group and other practice areas, including Real Estate. Each team member played a key role in managing the matter and through their collective efforts, they delivered a transaction that successfully leveraged capital from nonprofits, institutional asset managers, and a commercial lender to create a fund that is both financially sound and socially impactful.

Keeping the unhoused safe: We are not aware of any other legal response that has formulated and argued the novel state claims that enabled us to stop the criminalization of homelessness, even in the wake of the US Supreme Court’s Grants Pass decision in 2024. [In that opinion, the high court said ordinances forbidding camping on public property don’t violate the 8th Amendment.] For example, we relied on rarely cited provisions of New Jersey’s Constitution—such as the rights to defend life and obtain safety —as well as “Poor Laws” dating back to the 1600s that require townships to care for indigent residents and ensure that they do “not suffer unnecessarily … or be deprived of shelter.” These innovative legal strategies enabled us to successfully protect hundreds of unhoused people from criminal liability and place them on path towards stable housing.

We also drafted and helped enact a precedent-setting municipal ordinance designed to prevent the criminalization of homelessness. Recognizing that municipalities may have legitimate concerns about public camping, our model ordinance struck a thoughtful and creative balance between those concerns and the rights of unhoused people. This approach proved more successful in some cases than the absolutist legal positions that had failed other advocates in the past. The ordinance was unprecedented in New Jersey and is now serving as a model across the state and beyond.

In addition, we crafted and secured innovative Housing Cooperative Agreements to end tent cities humanely--through relocation to housing, not arrests. Litigation partner Jeff Wild, whose father experienced homelessness, has led these efforts and our broader advocacy for unhoused men and women throughout New Jersey for well over a decade.

Tell us more about the impact of these two matters on the local, national, and/or global level.

Advancing affordable homeownership: The transaction has had a significant impact across multiple levels by demonstrating how mission-driven real estate finance can be structured to achieve both community and institutional goals. Locally, the transaction mobilized nearly $83 million to support the acquisition and rehabilitation of properties in underserved areas, with a focus on transferring ownership to nonprofit organizations and developers from historically marginalized communities. This approach directly addresses housing inequities and promotes long-term affordability and community stability.

At the national level, the transaction serves as a blueprint for how nonprofit capital, institutional asset management, and commercial lending can be integrated into a single, scalable model. The governance framework—featuring a step-by-step plan for how returns are shared and a clear map of where money is invested—ensures that financial returns are balanced with social outcomes.

This transaction contributes to a growing movement toward inclusive urban investment. By embedding community oversight into legal agreements and operational protocols, the transaction offers a new standard for transparency and accountability in real estate finance. Its structure demonstrates how cross-sector collaboration can be codified to support sustainable development goals, making it relevant to international efforts focused on housing justice, economic inclusion, and urban resilience. The success of this transaction reinforces the potential for legal innovation to drive systemic change in how capital is deployed for public benefit.

Keeping the unhoused safe: Locally, our legal advocacy has directly improved the lives of unhoused individuals across New Jersey. In the past year alone, we prevented the unnecessary use of the criminal justice system for more than 200 people by intervening when municipalities sought to arrest, displace, or deny basic services to unhoused residents. Our work led to concrete outcomes: securing temporary and permanent housing, protecting access to survival supplies, and replacing punitive ordinances with humane, rights-based policies. These efforts have not only safeguarded vulnerable individuals, including seniors, veterans, and people with disabilities, but have also reshaped how local governments respond to homelessness.

Nationally, our work serves as a best practice. We have collaborated with organizations like the National Homelessness Law Center and shared our legal strategies with advocates across the country. Our successes have been featured in media outlets, helping to elevate the conversation around homelessness and constitutional rights. This visibility has helped counter the harmful narrative emerging from Grants Pass, demonstrating that state-level legal protections and community-based solutions remain powerful tools to create real change.

Why do you think your team ultimately achieved successful results in these two matters?

Advancing affordable homeownership: Our team achieved successful results in the transaction because of our ability to integrate legal precision with mission-driven innovation. From the outset, we understood that this was not a conventional structured real estate financing deal; rather, it required a nuanced approach that balanced lender protections with community-focused outcomes. Our success stemmed from deep collaboration across various teams in the legal, financial, and nonprofit sectors, and a shared commitment to structuring a transaction that could deliver both impact and integrity.

The transaction’s complexity demanded rigorous coordination. We managed multiple stakeholder relationships, including the lender, asset managers, and nonprofit partners, ensuring that all parties were aligned on timelines, documentation, and closing logistics. Our team’s responsiveness and attention to detail were critical in resolving last-minute issues and securing timely execution of all legal deliverables.

Ultimately, our success was driven by a shared vision and a multidisciplinary approach. We didn’t just close a deal—we helped build a replicable model for equitable real estate investment. By combining legal innovation with social purpose, we delivered a transaction that meets financial standards while advancing long-term community goals. This outcome reflects our team’s dedication, agility, and ability to lead in complex, high-impact matters.

Keeping the unhoused safe: Representing unsheltered individuals and families requires persistence, empathy, and creative legal and practical thinking. Our success in representing unhoused clients is due in part to the talent, dedication, and passion of our lawyers, who are encouraged to use their skills to support marginalized communities they feel personally connected to or deeply passionate about.

Another reason for our success is our ability to consider both sides of an issue before initiating litigation. While we are prepared to go to court for unhoused people, when necessary, we always think critically about the best ways to achieve victories for our clients. In these matters, we were able to get meaningful results through consent orders, negotiations, and housing cooperation agreements. We also achieved success by working with government officials. We focused on building broad consensus around common-sense propositions — such as the belief that no one should have to live outdoors or be punished when no alternative shelter is available. By engaging key stakeholders, we translated that shared understanding into real, lasting change.

Responses provided by Lowenstein Sandler associate Yelky Perez, Mortgage & Structured Finance, and partner Jonathan C. Wishnia, chair, Mortgage & Structured Finance for the affordable housing matter in Minnesota.

Responses provided by Lowenstein Sandler partner Jeffrey J. Wild, chair, Fiduciary Litigation, for the matter representing the unhoused in New Jersey.