Last month, I had the chance to join NeighborWorks America staff and network members for the NeighborWorks Rural Revitalization Clinic in Millersburg, Kentucky. Hosted by Community Ventures Corporation (CVC), a NeighborWorks network organization with a mission to strengthen communities by helping people achieve their dreams of greater economic opportunity, the four-day event centered on comprehensive community development (CCD) — a strategy that focuses on people, places and systems to create lasting, community-driven change.
Walking through Millersburg, it was clear that change is already in motion. Once considered a risky investment by CVC’s board, Millersburg’s transformation shows what’s possible with the right strategy and leadership. At the heart of this revitalization is Mustard Seed Hill, a community asset and tourism hub that draws 30,000 visitors each year. During the holiday season, it’s especially lively with "Christmas at Mustard Seed Hill," featuring light displays, gingerbread house competitions and local artisan markets. This visible progress is just one example of how place-based development can fuel economic growth in rural communities.
Comprehensive Community Development: A New Paradigm
Comprehensive community development can be a transformative strategy for rural revitalization. CVC’s executive director, Kevin Smith shared that he has seen it follow a similar path as the Community Development Financial Institutions (CDFI) movement did in the 1990s. Back then, it was tough to get funders to support micro-enterprise development. Today, we’re seeing the same need for a shift in thinking —moving funders away from narrowly defined programs, like down payment assistance, to more holistic, community-wide investment strategies.
Community Ventures Corporation is leading the charge on this front. The nonprofit has restructured its approach by moving from a top-down management style to a “company model,” where each line of business operates like its own company with responsibility for growth. This change has allowed CVC to grow from $30 million to $106 million in assets. As part of this shift, staff have focused on three urban and three rural communities, including Millersburg — a town that some board members initially saw as too risky to support.
But one board member — a local pastor — spoke up. “If we don’t help, who will?” he asked. That perspective shifted the board’s thinking and set Millersburg’s transformation in motion.
Millersburg’s Transformation
Today, Millersburg’s story is one of community-led change. Mustard Seed Hill, a former military site, is now a space for community events, weddings and holiday celebrations — a perfect example of how place-based development can revive a local economy.
CVC’s approach to gentrification also stands out. Instead of letting market forces displace residents, the nonprofit is working to guide those forces in a way that benefits the whole community. CVC recognizes that freezing property values and rents isn’t realistic, so staff are taking a more active approach. By acquiring key properties before development plans are made public, CVC is able to control the direction of change, avoid speculation and make sure that long-time residents can stay.
The Power of Homeownership
One of the most effective ways to stabilize a community is through homeownership. Kevin Smith shared that, in his experience, when the homeownership rate in a community drops below 50%, neighborhoods start to decline. That’s why CVC’s strategy focuses on increasing homeownership rates as a key measure of "neighborhood health."
Instead of relying on programs that convert renters to homeowners (which can have limited impact), CVC focuses on building new housing stock. This approach increases homeownership rates while also avoiding the risk of displacement for renters. This “aging in place” program also allows former homeowners to stay in their homes as renters, often with an option to regain ownership down the line.
Key Takeaways from the Rural Clinic
The NeighborWorks Rural Clinic was a chance to reflect on the lessons we’re learning from CCD in action. Here are some of the biggest takeaways from the event:
- Shift in Investment Mindset: Funders need to see CCD as a holistic strategy, not a set of isolated, programmatic investments like down payment assistance. Lasting change requires flexible capital and patient investment.
- Operational Restructuring: CVC’s “company model” decentralizes growth and gives each line of business its own responsibility for success. This change has expanded CVC’s financial capacity and operational scope—a strategy other organizations can learn from.
- Millersburg Revitalization: The choice to invest in Millersburg — a town that many thought was too risky — highlighted the power of moral leadership. It only took one board member’s advocacy to shift the perspective and spark a transformation.
- Balancing Gentrification: CVC’s proactive strategy of "silent property acquisition" allows the organization to prevent speculation and ensure that residents benefit from rising property values. The nonprofit is showing that it’s possible to guide market forces for community benefit.
- Focus on Homeownership: Homeownership rates are a key indicator of community health. Rather than relying on rental-to-homeownership conversion, CVC focuses on building new housing stock, which raises ownership rates and strengthens community stability.
- Creative Economic Development: CVC’s use of New Markets Tax Credits (NMTCs) and historic tax credits allows them to finance large-scale projects. By blending multiple funding streams they’re able to take on long-term development projects and reduce financial risk.
- Tourism as a Catalyst: Mustard Seed Hill is more than a tourist destination. It’s a revenue generator and a symbol of what’s possible when a community takes ownership of its future.
Looking Ahead
The NeighborWorks Rural Revitalization Clinic showed us what’s possible when rural communities lead their own change. Comprehensive community development isn’t just a strategy — it’s a shift in mindset. It’s about embracing complexity, leveraging local assets and making investments that will pay off for generations.
Organizations that want to follow Millersburg’s lead must be ready to take risks, challenge conventional thinking, and commit to the long game. The lessons from this clinic will continue to shape our approach as we support rural communities with bold, place-based strategies that prioritize people, place, and equity.