The Affordable Housing GIC is now available at a 4-year term at our posted rate!
Waterloo Region is facing a housing crisis. The demand for affordable community housing, as measured by the wait list, continues to rise, and 42.3% of renter households in Waterloo Region are paying more than 30% of their income on rent, which is considered the point at which housing is unaffordable. Action is imperative and innovative approaches are needed.
Most affordable housing developers and/or operators seek long-term, low-cost financing through the Canadian Mortgage and Housing Corporation (CMHC). However, the CMHC financing process can take several months. In the absence of timely, cost-efficient capital that is responsive to market needs, affordable housing providers are not able to bid on projects, and opportunities are missed to support lower income community members.
Kindred’s partnership with Waterloo Region Community Foundation (WRCF) will bring each partner’s unique value and expertise to the table to help address the affordable housing crisis and provide opportunities to those in need.
The goal of our new Affordable Housing GIC and Loan is to provide long-term, permanent affordable housing, which is different from short-term, transitory housing geared more towards addressing homelessness. The new Affordable Housing GICs allow depositors to invest their money knowing that it is matched with a lending solution to provide affordable housing. Affordable housing projects will be primarily delivered through the development of housing for purchase or to rent.
Affordable housing is important to us; as one of Kindred’s Community Inspiration Framework themes, we’re focused on safe and affordable housing, especially the affordability of housing for first-time homebuyers, those on fixed incomes, or supporting those accessing emergency shelters, or transitional housing which is critical to all our communities. We can provide opportunities for safe and affordable housing by working with our community partners to find solutions that provide homes for those who need it the most.
By bringing the financial expertise, our joint work with WRCF aims to expand the current network of investors and developers, with the goal of creating a pipeline of future affordable housing projects. WRCF’s experience with impact investments will support in assessing potential affordable housing projects applying for a loan. We will hold the GIC and loan products, based on years of service, commitment, and financial knowledge.
Follow us on social media for more news regarding our Affordable Housing GIC and Loan. Anyone interested in learning more can also visit a local branch, or kindredcu.com/affordable-housing-gics. We’re here to help!