November 21, 2019

Growth opportunities set to arise from refinancing agreement

Foundation Housing has refinanced its $35million debt facility through the Federal Government’s National Housing Finance and Investment Corporation’s (NHFIC) second Social Bond issue. The more favourable lending conditions achieved under the agreement will generate savings that can be leveraged to increase the number of homes it can offer to people in need.

The Federal Minister for Housing, the Hon Michael Sukkar MP, visited Foundation Housing’s head office in Leederville to formally announce the agreement, which is the largest to be undertaken in WA since NHFIC was established in 2018 to provide assistance to community housing sector.

Foundation Housing Ltd CEO Chris Smith said the debt facility was an exciting outcome.

“The NHFIC funding is fantastic for the sector, and for us as an organisation, because it will allow us to grow after a period where there has been limited opportunity to do so.   The more favourable lending conditions will create additional cash flows that will enable us to take forward a number of identified development projects,” Mr Smith said.

“We are grateful to the Australian Government for recognising the important role that the community housing sector plays in addressing housing need, and I am proud that Foundation Housing has been able to secure this funding to help us to increase our response to housing need in the state.

“We also acknowledge the role the State Government has played in the application process and who, through the Housing Authority, have supported us in the past with the transfer of property titles and joint venture interests which have enabled us to achieve our present scale of operations,” he added.

Foundation Housing will now further develop plans for potential projects that will enable it to add to its existing stock of around 2,170 units of accommodation, currently provided to West Australians on low to moderate incomes who otherwise experience difficulty in securing appropriate places to live.

Minister Sukkar visited Foundation Housing’s head office in Leederville to meet with members of the Executive Team and the Board of Directors.  Pictured from left to right Peter Lee, Jeremy Jacobs, Darren Cooper, David Ligovich, the Hon Minister Sukkar, Elena Macrides and Chris Smith.