The Slum Upgrading Facility was established in 2004 in response to General Assembly Resolution A/56/206 of 2001 on strengthening the United Nations Habitat and Human Settlements Foundation.  It was endorsed by UN-HABITAT Governing Council at its 20th Session by Resolution GC20/11 and at GC 21 and 22.  It is focused on Millennium Development Goal 7 Target 11: “To make a significant improvement in the lives of 100 million slum dwellers by the year 2020”.

At the global level, the Slum Upgrading Facility operates out of the Human Settlements Financing Division of UN-HABITAT, based in Nairobi, under the umbrella of Cities Alliance.  It is guided by the Slum Upgrading Facility Consultative Board, comprised of representatives from Slum Dwellers International, United Cities and Local Governments, the private sector, the World Bank, donors from Norway, Sweden and the UK, and UN-HABITAT staff. 

At the country level, a Slum Upgrading Facility team is in place, with UN-HABITAT staff and the staff and Board Members of the Local Finance Facilities working with local and national partners in each country to develop and implement slum upgrading projects, all with private sector lending.