DUBLIN, Ireland–Ireland’s Credit Union Development Association and Initiative Ireland have received approval from the Central Bank for a planned €600 million fund provided by participating credit unions to lend to Approved Housing Bodies.
As a result, lending will soon be able to begin on a development that it is hoped will lead to the construction of 10,000 new homes over the next decade, according to RTE.
"The fund will provide competitive finance to Approved Housing Bodies which play a key role in the delivery of social housing today," said Kevin Johnson, CEO of CUDA. "As not-for-profit enterprises, they purchase and commission new social housing for long-term lease back to local county councils."
To date, Initiative Ireland, which is an Enterprise Ireland High Potential Start-Up, has built a community of investors who have provided more than €50 million in housing finance loans, RTE reported.
Including the latest fund, the company now intends to lend up to €1.5 billion in new loans for residential developments over the next three years, the organization added.