Special purpose vehicle by a council for the investment of funds in social housing

QUESTION

To ask the Minister for Housing; Planning and Local Government the status of the development of a special purpose vehicle by a council (details supplied) for the investment of funds in social housing; and if he will make a statement on the matter. (Details Supplied) the Irish Council for Social Housing

REPLY

Considerable work has been ongoing between the Irish Council for Social Housing (ICSH), a number of larger Tier 3 Approved Housing Bodies (AHBs) and their financial advisors on the development of a vehicle or mechanism for delivering private financing for AHBs providing social housing in line with commitments under the Government's Rebuilding Ireland Action Plan on Housing and Homelessness.
Two phases of the work with the sector's financial advisors had been completed by Q3 2018. This included market testing and the more detailed analysis in evaluating the updated and ongoing requirements of financial institutions and AHBs. The establishment of a single financing vehicle has not been completed as of yet but the work will continue to be progressed into 2019 with the objective of increasing the level of private financing from financial institutions for developing Tier 3 bodies.
Alongside this work, one AHB has established a SPV for the specific purpose of acquiring homes, and another AHB has obtained finance from a private financial institution. Both of these have resulted in homes being delivered by these AHBs through these financing arrangements.