Building Herreid’s Future: A Community’s Commitment to Sustainable Growth

Herreid, a growing community in South Dakota, has long been a place where residents take pride in their home and collective future. However, in 2016, the community faced a critical issue: a declining population and a shortage of workforce housing. This lack of housing options was a major barrier to reversing population loss and dwindling school enrollment. To address this, residents founded Herreid Area Housing Development (HAHD), a nonprofit committed to improving the town’s housing stock and ensuring long-term growth.

HAHD sought a sustainable funding source to support its mission. Recognizing housing development is a long-term effort, HAHD applied to SDCF’s Nonprofit Savings Account (NSA) program to establish an endowment. Dick Werner, HAHD Director, noted, "Housing and community development is a marathon and not a sprint. The NSA challenge fits perfectly with helping achieve this marathon development strategy.”

This fund would ensure the resources needed to build and maintain affordable housing for generations to come. In less than two years, HAHD raised $80,000, qualifying for a $20,000 match from SDCF.

Over the years, HAHD has revitalized Herreid, building and selling five spec homes, updating 18 owner-occupied homes, and creating new rental housing. These efforts have helped stabilize the community and even reversed the town’s declining school enrollment. 

Werner adds, "At the inception of HAHD, Herreid’s School District had a K-12 enrollment of 109. Herreid School District’s current K-12 enrollment is 138. Every graduating class is smaller than every incoming kindergarten class, and enrollment is projected to increase to 150.”

HAHD’s impact extends beyond housing, securing over $1.5 million in grants for community projects like playgrounds, sports facilities and pool upgrades. As a result, Herreid is becoming an increasingly attractive place to live and raise a family.

By applying to the NSA program and establishing an endowment, HAHD has ensured its work will continue for years to come. If your organization is looking for a way to build a lasting financial foundation, consider learning more about SDCF’s NSA program. The program helps nonprofits create endowments that provide sustainable funding for long-term impact.