Doing Good and Doing Well Are Not Mutually Exclusive
There’s a lot in the news today about Social Impact Investing – investments that make a social or environmental impact while also generating a financial return. It’s a true win-win, and at Freddie Mac Multifamily, we’re happy to be at the forefront of this important movement. We offer flexible financing structures, attractive spreads and investment opportunities to support affordable and workforce housing.
Here’s how one of our sponsors is taking on the Social Impact challenge. At our 2017 Customer Conference, Bobby Turner of Turner Impact Capital emphasized that doing good and doing well are not mutually exclusive. In fact, they’re symbiotic. By rethinking how we do business, we can both realize returns and tackle the workforce housing crisis.
Bobby gave an example where he not only preserves the rent affordability of his properties, he also “enriches” them by providing unique value to the residents. He sets aside a small percentage of units for reduced rents and allots them to people who agree to volunteer their professional skills to community. The property now offers a free tutoring lounge staffed by teacher residents, free access to a nurse practitioner who lives on-site, and a community safety program headed up by police officers who live in the units.
This is a feel-good result that increases the sense of community among residents. But just as important, it’s a smart result that drives down renter turnover and lowers property insurance — while generating profits for the Borrower. I encourage you to take a few minutes to watch highlights from his inspirational talk. Several Sellers have asked to see this again, and I think you’ll enjoy it.
I love Bobby’s story, and the stories our other customers have shared with us. There are many ways we can work together to help underserved markets – specifically where the majority of rents are affordable to those making less than 80 percent area median income.
If you’re as intrigued by Social Impact Financing as I am, we’d be happy to work with you and your Borrowers to make a difference.
Please reach out to me – I look forward to talking with you.
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