$30M Memphis Medical District Investment Fund Will Spur Inclusive Real Estate Development

$30M Memphis Medical District Investment Fund Will Spur Inclusive Real Estate Development

Memphis Medical District Collaborative, Pathway Lending, banks and private
foundations partner to launch capital fund to finance transformative residential and
mixed-use real estate development

MEMPHIS (July 19, 2021) – Pathway Lending and the Memphis Medical District Collaborative
(MMDC), in partnership with First Horizon, Regions Bank, Truist, The Kresge Foundation and
The Hyde Family Foundation, today announced the launch of the Memphis Medical District
Investment Fund, a $30 million capital fund dedicated to support development of residential
and mixed-use projects in the Memphis Medical District.

Pathway Lending, a regional Community Development Financial Institutional (CDFI), will
underwrite supported projects and deploy the fund, which it capitalized with $10 million
contributions each from First Horizon, Regions Bank and Truist Bank and a guarantee up to
$6 million from Kresge and additional operating support from The Hyde Foundation.

“Pathway Lending has been committed for more than 20 years to working with our banking
partners and community stakeholders to bring capital to underserved communities. Elevating
neighborhoods and empowering the people and businesses who belong to them is central
to our work,” said Pathway President and CEO Clint Gwin. “The creation of the Memphis
Medical District Investment Fund will bring catalytic capital to the Medical District to facilitate
redevelopment and new development advancing the district’s growth and long-term
sustainability. We are proud the community and our partners have entrusted us with this
capital to further the vision for a thriving district community for all citizens to share.”

The Memphis Medical District is home to several large hospital systems, as well as a number
of medical education providers. The area hosts over 30,000 employees and students and
more than 10,000 residents. Yet decades of disinvestment in the area’s neighborhoods have
resulted in high poverty rates and a lack of adequate housing and commercial options.
Though the area has seen marked investment in recent years, market studies indicate the
District can absorb 1,000 more residential units and nearly 170,000 square feet of
commercial and retail space. The fund will provide developers looking to address the current
gap with an additional capital source of flexible financing in a rising market.

“People increasingly see the value of the Medical District as a place for investment,
opportunity and to become a part of a growing community,” said Rory Thomas, president of
MMDC. “The Memphis Medical District Investment Fund is a significant tool that will help
developers access capital and carry forward the momentum in the Medical District.”

The Memphis Medical District Investment Fund deepens the Kresge Foundation’s investment
in Memphis and its partnership with the Memphis Medical District Collaborative. Through its
American Cities Program and Social Investment Practice, both of which helped to shape the
fund, Kresge aims to promote inclusive and effective community and economic
development.

“We know from our experience in Detroit that once you accelerate inclusive development in a
neighborhood, it builds upon itself,” said Aaron Seybert, managing director of Kresge’s
Social Investment Practice. “Through this collaboration and this unique financial structure, we
think we can see 15 or 20 years of that kind of mission-oriented development happen in the
next five to seven.”

The Hyde Foundation’s contribution to the new fund continues its ongoing support for
MMDC, where the foundation has remained a major stakeholder since helping drive its
formation in 2016.

“The Medical District has been a long-standing neighborhood of focus for the Hyde Family
Foundation, and we are incredibly excited to support this effort,” said Teresa Sloyan,
president of the Hyde Family Foundation. “Our partners in this initiative are serving as agents
of change, and we are proud to uplift and support their work, which will greatly accelerate
residential and commercial development to meet the demand for a vibrant, inclusive
community.”

“This strategic partnership and investment serves as a model for community development
across our community and specifically in the Medical District,” said Bryan Jordan, President
and CEO at First Horizon. “This fund will provide vital capital to help ensure members of our
communities have greater access to financing.”

Regions Community Development Corporation, a wholly owned subsidiary of Regions Bank,
will facilitate Regions $10 million contribution.

“The Medical District is a vital part of Memphis and the Mid-South, and this collaboration is
focused on leveraging the resources of community partners to make a deeply meaningful
impact,” said David May, market executive for Regions Bank in Memphis. “The area features a
unique combination of world-class health care facilities, leading educational institutions and
longtime residents and neighbors who are committed to uplifting the community. Today’s
announcement reflects the culmination of two years of planning to support the district’s
continued transformation and further develop its tremendous potential. Regions is proud to
significantly invest in the future of the district.”

“At Truist, our purpose is to inspire and build better lives and communities, and our
partnership with Pathway Lending to accelerate the revitalization of the Memphis Medical
District exemplifies our purpose,” said Johnny Moore, Tennessee region president for Truist.
“We have a real opportunity to create the momentum needed to attract the significant
investments required to return the Memphis Medical District into a vibrant business and
residential district, and I am thankful we are a part of this effort.”

About First Horizon
First Horizon Corp. (NYSE: FHN), with $87.5 billion in assets as of March 31, 2021, is a leading
regional financial services company, dedicated to strengthening the lives of our associates,
clients, shareholders, and communities. Headquartered in Memphis, TN, the banking
subsidiary First Horizon Bank operates in 12 states across the southern U.S. The Company
and its subsidiaries offer commercial, private banking, consumer, small business, wealth and
trust management, retail brokerage, capital markets, fixed income, mortgage, and title
insurance services. First Horizon has been recognized as one of the nation’s best employers
by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information
is available at www.FirstHorizon.com.

About The Hyde Family Foundation
The Hyde Family Foundation identifies, creates and supports initiatives capable of producing
innovative, positive change for Memphis through four key impact areas: High-Quality
Education, Vibrant Spaces and Communities, Thriving Arts and Culture and Engaged
Leadership and Civic Pride. The Foundation is committed to building a thriving, progressive
Memphis through active, engaged philanthropy. For more information, visit
www.hydefoundation.org.

About The Kresge Foundation
The Kresge Foundation was founded in 1924 to promote human progress. Today, Kresge
fulfills that mission by building and strengthening pathways to opportunity for low-income
people in America’s cities, seeking to dismantle structural and systemic barriers to equality
and justice. Using a full array of grant, loan, and other investment tools, Kresge invests more
than $160 million annually to foster economic and social change. For more information visit
kresge.org.

About The Memphis Medical District Collaborative
The Memphis Medical District Collaborative is a community development organization
working with anchor institutions to strengthen the connections, communities, and campuses
in the Memphis Medical District so they are more vibrant, prosperous, and equitable. Learn
more at mdcollaborative.org.

About Pathway Lending
Founded in 1999 and based in Nashville, Pathway Lending is a community development
financial institution (CDFI) certified by the U.S. Department of the Treasury. It has grown to
become a major lending institution in the Southeast, propelling meaningful economic growth
in communities across the region. In 2020, Pathway Lending made more than $46.1 million in
loans and delivered 15,790 hours of technical assistance and education. Get to know our
mission and the stories of the entrepreneurs and communities we serve at
PathwayLending.org.

About Regions Financial Corporation
Regions Financial Corporation (NYSE:RF), with $153 billion in assets, is a member of the S&P
500 Index and is one of the nation’s largest full-service providers of consumer and
commercial banking, wealth management, and mortgage products and services. Regions
serves customers across the South, Midwest and Texas, and through its subsidiary, Regions
Bank, operates more than 1,300 banking offices and approximately 2,000 ATMs. Regions
Bank is an Equal Housing Lender and Member FDIC. Additional information about Regions
and its full line of products and services can be found at www.regions.com.

About Truist
Truist Financial Corporation is a purpose-driven financial services company committed to
inspiring and building better lives and communities. Formed by the historic merger of equals
of BB&T and SunTrust, Truist has leading market share in many high-growth markets in the
country. The company offers a wide range of services including retail, small business and
commercial banking; asset management; capital markets; commercial real estate; corporate
and institutional banking; insurance; mortgage; payments; specialized lending; and wealth
management. Headquartered in Charlotte, North Carolina, Truist is a top 10 U.S. commercial
bank with total assets of $522 billion as of June 30, 2021. Truist Bank, Member FDIC. Learn
more at Truist.com