Community development corporations
Community development corporations are nonprofit groups that rebuild and support distressed neighborhoods through housing, jobs, and local services. In African American History, they show how Black communities fought urban decline after the civil rights era.
What are community development corporations?
Community development corporations, or CDCs, are nonprofit organizations that work in specific neighborhoods to improve housing, jobs, and services. In African American History, they show one way Black communities responded to the urban crisis after civil rights victories did not end economic inequality.
CDCs grew out of the 1960s and later decades, when many cities were dealing with deindustrialization, disinvestment, and housing abandonment. As factories closed and white residents moved to suburbs, many Black neighborhoods were left with vacant buildings, fewer jobs, and weak public services. CDCs stepped into that gap by organizing locally instead of waiting for city governments or private investors to fix the problem.
A CDC usually combines community planning with real estate work. That can mean turning an empty lot into affordable housing, renovating an abandoned building into apartments or a community center, or helping small businesses get started. Many CDCs also run job training, homeownership programs, and neighborhood cleanup efforts, which makes them part housing agency, part economic organizer, and part civic institution.
What makes CDCs different from outside developers is their local focus. They often involve neighborhood residents in decisions about what gets built, what services are needed, and which problems should come first. That matters in African American history because Black neighborhoods had often been shaped by outside control, redlining, segregation, and neglect. CDCs gave residents a way to claim more control over land, housing, and public space.
You can think of a CDC as a response to a structural problem. It does not erase racism, job loss, or segregation by itself, but it creates practical tools for survival and rebuilding. In class, this term usually shows up when you are tracing how Black communities used institutions of their own to push back against urban decline and economic inequality.
Why community development corporations matter in African American History – 1865 to Present
Community development corporations show that African American history after the civil rights era is not only about protest and law, but also about rebuilding daily life. They help explain how Black communities tried to respond to job loss, housing decay, and government neglect with local institutions of their own.
This term is useful for understanding the urban crisis because it connects big forces to neighborhood-level action. When you study deindustrialization, housing segregation, or disinvestment, CDCs give you a concrete example of what resistance and survival looked like on the ground. Instead of only describing inequality, they show how people organized around it.
CDCs also reveal a pattern in modern Black history: freedom and legal rights did not automatically produce fair access to housing, stable work, or safe public spaces. That gap is one reason community-based economic development became so common in cities with large African American populations.
If you are writing an essay or answering a short-response question, CDCs are a strong example of grassroots institutional response. They can connect to topics like urban renewal, Black economic empowerment, and the long struggle for control over neighborhood resources.
Keep studying African American History – 1865 to Present Unit 8
Visual cheatsheet
view galleryHow community development corporations connect across the course
Economic Development
CDCs are one tool for economic development at the neighborhood level. Instead of focusing only on large business investment, they try to build wealth through affordable housing, job training, and local services. In African American History, that makes them a response to the fact that many Black neighborhoods were excluded from mainstream capital and lending.
Urban Renewal
Urban renewal often meant demolition, displacement, and top-down planning, especially in Black neighborhoods. CDCs grew partly as a reaction to those failures, because residents wanted rebuilding that kept people in place instead of pushing them out. Comparing the two helps you see the difference between outside planning and community-led development.
Social Capital
CDCs depend on social capital because they need trust, networks, and local participation to work well. Residents, churches, neighborhood leaders, and small business owners often help shape their projects. In this course, that shows how community ties could become a resource when formal institutions were not meeting Black needs.
housing segregation
Housing segregation created the conditions that made CDCs necessary in many cities. Segregated neighborhoods were more likely to face underinvestment, poor housing, and limited access to credit. CDCs tried to fight back by creating stable, affordable homes in places that had been systematically denied equal treatment.
Are community development corporations on the African American History – 1865 to Present exam?
A quiz, document analysis, or essay prompt might ask you to explain how Black communities responded to the urban crisis after the 1960s. Use CDCs as a concrete example of grassroots economic strategy: they rebuilt housing, created jobs, and pushed for neighborhood control. If you see a source about vacant lots becoming affordable housing or residents organizing around local development, that is a CDC-style response.
For a passage or image question, identify the practical evidence first. Look for nonprofit neighborhood action, resident participation, or projects tied to housing and local services. Then connect that evidence to broader course themes like segregation, disinvestment, and the limits of federal solutions. A strong answer does more than name the term, it explains how it reflects Black self-determination in an urban setting.
Community development corporations vs Urban Renewal
These are often mixed up because both deal with changing city neighborhoods, but they do not work the same way. Urban renewal usually meant government-led redevelopment that displaced residents, while CDCs are neighborhood-based nonprofits that try to improve conditions without removing the people who live there.
Key things to remember about community development corporations
Community development corporations are nonprofit neighborhood organizations that rebuild distressed communities through housing, jobs, and local services.
In African American History, CDCs are tied to the urban crisis, especially the problems Black neighborhoods faced after deindustrialization and disinvestment.
CDCs often renovate abandoned buildings, create affordable housing, and support job training or small business growth.
They matter because they show grassroots Black responses to segregation, neglect, and unequal access to resources.
When you see CDCs in a source, think local organizing, resident input, and community-led development rather than top-down reform.
Frequently asked questions about community development corporations
What is community development corporations in African American History?
Community development corporations are nonprofit groups that work to improve neighborhoods, especially in economically distressed Black communities. They focus on housing, jobs, and local services, often by involving residents in planning and decision-making. In this course, they are a response to the urban crisis and long-term disinvestment.
How are community development corporations different from urban renewal?
Urban renewal was usually top-down redevelopment led by governments or outside planners, and it often displaced Black residents. CDCs are community-based and are meant to improve neighborhoods while keeping residents in place. That difference matters a lot in African American history because it shows who controls land and development.
What do community development corporations actually do?
They may turn vacant lots or abandoned buildings into affordable housing, community centers, or spaces for local businesses. Many also offer job training, homeownership help, or neighborhood advocacy. The exact work depends on local needs, but the goal is to build stability and economic opportunity from within the community.
Why did community development corporations grow in the 1960s and later decades?
They emerged as Black neighborhoods faced urban decline, housing abandonment, and weak public investment even after civil rights wins. Factories closed, cities lost revenue, and segregation kept many neighborhoods underresourced. CDCs were one way residents tried to respond to those structural problems directly.