- Increasing investor interest in community housing
- 2021-22 bonds provided funding to five Community Housing Providers (CHP)
- Loans saved CHPs an estimated $96 million
A report released by the National Housing Finance and Investment Corporation (NHFIC) has found that community housing doubles down on the benefits to society, with those living in community housing feeling more secure and having improved financial, employment, and health outcomes.
The NHFIC is a corporate Commonwealth entity that was established in 2018, and issues social and sustainable bonds to support its mandate of improving housing outcomes for Australians, with an emphasis on providing low-income and vulnerable Australians access to safe, stable, and affordable housing.
“The new research demonstrates the benefits of community housing and that providing a safe, stable and secure home has many flow-on benefits for vulnerable Australians,” said NHFIC CEO Nathan Dal Bon.
“Helping more people into homes requires substantial ongoing investment into the sector, so we are working closely with investors, superannuation funds and CHPs to develop innovative financing and investment solutions to facilitate this growth.”
“NHFIC, which will be renamed Housing Australia, will be responsible for delivering 40,000 new homes under the Housing Australia Future Fund and National Housing Accord, and for financing new housing and related infrastructure through the National Housing Infrastructure Facility.
“We look forward to continuing to partner with investors, superannuation funds, the property industry, CHPs and governments at all levels to support more Australians in need.”
There has been increased investor interest in the community housing sector as a recognised investment asset class.
Across 2021-22, NHFIC’s highlights included:
- NHFIC approved $509.3 million of new loans to CHPs, saving them an estimated $96.2 million in lower interest and fees over the life of the loans, and supporting the delivery of 3,296 social and affordable homes.
- NHFIC continued to drive the growth of the Australian social bond1market; issuing $198 million in new bonds and attracting three new international
- The 2021-22 bonds are financing five CHPs to deliver 733 homes and will save them an estimated $25.9 million in lower interest and fees over the life of the loans.
- New NHFIC research analysis reveals tenants living in community housing feel more secure, and have improved financial, employment and health outcomes.
- NHFIC progressed work with the community housing sector to develop an industry-led Environmental Social Governance (ESG) Reporting Standard to help attract institutional investment and establish an asset class based on social and affordable
The 2021-22 bonds provided funding to five CHPs: Home in Place (formerly Compass Housing Services), City West Housing, Evolve Housing, Haven; Home, Safe, and Community Housing (Qld) Limited.
Since inception, NHFIC has approved $3.4 billion in funding for social and affordable housing through the Affordable Housing Bond Aggregator, supporting 39 community housing providers to deliver over 17,500 new and existing homes.
