Let not-for-profits borrow for affordable housing from local people

SAN FRANCISCO: The affordable homes shortage could be fixed by allowing housing associations to seek funding from local people.

Housing associations/not-for-profits could buy land to build low-cost homes with money that would previously have been saved in banks, premium bonds and interest-bearing deposit accounts.

The proposal would overcome a significant hurdle blocking co-op housing groups from accessing private funds.

The plan would need new legislation allowing mutuals to raise capital from bonds along similar lines to a French scheme considered the financial backbone of socialist premier François Hollande’s promise to dramatically increase housebuilding…

Full story covered in the Seniors Housing & Healthcare Trends.

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