We are honored to have been recognized for the third year in a row by Environmental Finance for our commitment to helping overcome environmental or social challenges in affordable housing. Our Impact Bonds, comprising Green, Social and Sustainability Bonds, support our broader housing mission to help finance affordable, quality rental housing.

In 2022 and 2023, we were awarded Social Bond of the Year, which recognizes the support we provide to populations considered among the most vulnerable. This year we were awarded Sustainability Bond of the Year – Agency for ML-20. 

ML-20 is a $217.96 million transaction financing 14 loans, each securing a property that has received Low-Income Housing Tax Credits, preserving affordability for the tenants. Across the portfolio, 1,844 units (77%) are affordable to tenants earning no more than 60% area median income (AMI), and 1,947 units (81%) are affordable to tenants earning no more than 80% AMI.

In addition to supporting affordable housing, proceeds from Sustainability Bonds help further economic opportunity for renters and support economic growth for communities.

Furthering Economic Opportunity

Four properties funded by ML-20 are mixed income. Mixed-income housing can help deconcentrate poverty and/or provide access to neighborhoods of opportunity for low- and moderate-income residents. This type of housing creates economic diversity and expands the availability of quality, affordable housing throughout an area. Additionally, the transaction supports properties in Areas of Concentrated Poverty, High Opportunity Areas, Rural regions and Opportunity Zones. Affordable and mixed-income housing in these areas can help direct capital to provide stable, quality housing and become a foundation for economic opportunity.

Supporting Environmental Impact

Of the 14 loans in ML-20, 13 make an environmental impact through existing energy- or water-efficiency improvements that average 25% in energy reduction and 21% in water reduction.

Additionally, 13 of the properties are transit-oriented developments located within half a mile of public transit. Transportation-related greenhouse gas (GHG) emissions account for about 28% of the total U.S. GHG emissions, and transit-oriented developments play an important role in helping reduce fuel consumption by encouraging alternative transportation.

Our Impact Bonds are designed to help investors focus on overcoming housing challenges and provide support for environmental, social and sustainability goals. As of December 31, 2023, we have financed over 1,280 loans totaling nearly $19.8 billion.

We are proud to receive this recognition that highlights the importance of not only supporting affordable housing properties, but also the communities in which they are located.

To learn more about our Sustainability Bonds or this transaction, click on the links below.

•    Read Environmental Finance’s write-up about the award here
•    ML-20 Offering Circular Supplement
•    Impact Bonds webpage
•    Impact Bonds investor presentation