Vancity Group and Habitat for Humanity Canada launch $30M credit facility to deliver affordable housing across Canada
Innovative partnership designed to increase access to capital for local Habitat organizations
Vancity Group today announced a new $30 million impact-driven partnership with Habitat for Humanity Canada that will support the non-profit organization to aggressively scale its delivery of affordable housing across Canada.
Vancity Community Investment Bank (VCIB) will deliver the $30 million credit facility to Habitat for Humanity, which will finance the construction of up to 414 units of affordable housing over the next three years. Habitat Canada will extend loans from the credit facility to local Habitat organizations across the country, streamlining and expediting their access to capital. For example, Habitat Peterborough & Kawartha Region will be using the credit facility to push forward the development of 41 new and affordable homes at its Leahy’s Lane project.
Vancity Group has a long track record of financing affordable housing and supporting local communities. Since 2009, Vancity Group has funded investments of more than $1.48 billion to support the development of affordable housing stock across Canada – recently, VCIB announced a first-of-its-kind agreement with Canada Mortgage and Housing Corporation (CMHC) to finance up to $100 million towards affordable housing solutions by September 2021.
CMHC is also providing funding to Habitat for Humanity through the National Housing Co-Investment Fund, and VCIB’s credit facility has been designed to complement this government funding to further accelerate Habitat’s ability to deliver affordable homes.
Jay-Ann Gilfoy, CEO of VCIB, said: “To succeed in tackling the housing crisis, capital needs to flow to the organizations that are creating affordable housing options for all Canadians. Our partnership with Habitat for Humanity is an example of how financial institutions can help tackle the affordability crisis, and we are committed to continuing to develop key innovative partnerships across the country.”
Financing by VCIB will be used to support Habitat’s innovative home ownership model. Habitat buyers purchase their home through a no-down payment mortgage geared to their income, which provides families living with low income the opportunity to step onto the housing ladder.
“Habitat for Humanity is committed to creating affordable and stable home ownership opportunities across Canada and around the world – not only does this allow families to build equity, but it also instills in them a sense of pride and responsibility,” said Julia Deans, President and CEO of Habitat for Humanity Canada. “VCIB’s commitment to social financing has helped us expedite the delivery of affordable housing with local Habitats, meaning we are now one step closer to fulfilling our mission to make affordable home ownership a reality for all Canadians.”
As Canada’s first and only values-driven bank, VCIB is committed to driving positive social and environmental change within the communities in which it operates. To date, VCIB has financed multiple projects with Habitat for Humanity, including in Halton, Mississauga, and Guelph, Ontario.
About Vancity Community Investment Bank (VCIB)
VCIB is an Ontario-based schedule 1 federally chartered bank and a subsidiary of Vancouver City Savings Credit Union. As Canada’s first values-driven bank, VCIB provides banking, investing, and financing solutions to help purpose-driven businesses and organizations thrive, grow, and foster change. Additionally, VCIB offers specialized financing solutions for social purpose real estate and clean energy projects. VCIB is a certified B Corporation and a member of the Global Alliance for Banking on Values. For more information, visit vcib.ca, tweet us at @BankVancity and connect with us on LinkedIn.
About Habitat for Humanity Canada
Founded in 1985, Habitat for Humanity Canada is a national, charitable organization working towards a world where everyone has a safe and affordable place to call home. Habitat Canada brings communities together to help families build strength, stability and independence through affordable homeownership. With the help of volunteers, Habitat homeowners and 50 local Habitats working in every province and territory, we provide a solid foundation for better, healthier lives in Canada and around the world. Habitat for Humanity Canada is a member of Habitat for Humanity International, which was established in 1976 and has grown to become a leading global non-profit working in more than 70 countries. For more information, please visit https://habitat.ca./
About Vancouver City Savings Credit Union (Vancity)
Vancity is a values-based financial co-operative serving the needs of its more than 543,000 member-owners and their communities, with offices and 54 branches located in Metro Vancouver, the Fraser Valley, Victoria, Squamish and Alert Bay, within the unceded territories of the Coast Salish and Kwakwaka’wakw people. With $28.2 billion in assets plus assets under administration, Vancity is Canada’s largest community credit union. Vancity uses its assets to help improve the financial well-being of its members while at the same time helping to develop healthy communities that are socially, economically and environmentally sustainable. Tweet us @vancity and connect with us on facebook.com/vancity.
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