The National Housing Finance and Investment Corporation has made its first funding commitment, of $35 million, to Hume Community Housing.
Treasurer Josh Frydenberg said NHFIC’s first loan would support Hume to deliver on a key element of the Government’s comprehensive housing affordability plan to improve housing for all.
Assistant minister for treasury and finance Zed Seselja said: “Hume’s affordable housing sites, like the one here at Fairfield, are helping those who need access to affordable housing while reducing congestion through easier access to public transport. With access to a $1b line of credit through the Affordable Housing Bond Aggregator, this first commitment by NHFIC will be followed by further announcements in the pipeline.”
Hume is one of the largest tier-1 community housing providers in the state, managing about 2000 homes in western Sydney, with secured growth in the Hunter to manage another 2200 homes. Hume will use the $35m in NHFIC loan finance to provide affordable homes and services to 9000+ customers.
Hume’s affordable housing sites, like the one here at Fairfield, are helping those who need access to housing and public transport.ZED SESELJA Assistant Minister for Treasury & Finance
The corporation is an independent corporate Commonwealth entity dedicated to improving housing, with a focus on affordable housing.
The $35m loan, subject to final documentation and conditions, will enable Hume to get low-interest and long-term finance. The corporation will continue to provide greater funding certainty and enhanced cashflow to support community housing.
Corporation chief executive NathanDalBon said: “We're very pleased to announce that Hume will be the first community-housing provider to access NHFIC finance. Hume and its chief executive, NicolaLemon, were strong supporters of the establishment of NHFIC and we’re delighted Hume will get the benefits of NHFIC finance.”
Ms Lemon said: “We’re exceptionally pleased with the work we’ve been doing with NHFIC to spearhead this new source of finance as it represents an important milestone, not only for Hume but for the entire sector. Once formally in place, we'll benefit from access to cheaper finance and greater certainty in terms of future financing costs.
“This announcement is welcome and timely as Hume is undergoing a period of significant growth. We’ll be improving the lives and wellbeing of thousands more households. The access to NHFIC financing and the cost benefits will go a long way to help us create opportunities for our customers to prosper, through providing outstanding homes and good-quality services.”