Kindred Credit Union and Waterloo Region Community Foundation to launch GIC to support affordable housing in Waterloo Region

Kindred’s Affordable Housing GIC is a first of its kind investment vehicle that will help fund local affordable housing.

Waterloo Region, ON – People across Waterloo Region are asking, “How can I help with the affordable housing crisis in our community?” Kindred Credit Union (Kindred) and Waterloo Region Community Foundation (WRCF) have worked together to develop an innovative solution that has the potential to make a difference locally.

Kindred is pleased to announce the upcoming launch of the Affordable Housing Guaranteed Investment Certificate (GIC), designed in partnership with WRCF. The GIC serves both financial and social benefit through an investable product with a competitive market rate. The deposits contribute to support lending for long-term, owned or rented permanent affordable housing for residents of Waterloo Region.

Kindred and WRCF each bring value to this unique partnership. The GIC and loan products will be held through Kindred, and WRCF’s experience with impact investments will support in assessing the feasibility of potential affordable housing projects applying for a loan. Once a pool of deposits is established through the GIC, Kindred will seek to deploy a maximum amount of dollars on a best efforts basis towards loans for suitable affordable housing projects. Further details on the investor reporting relationship and criteria for loans will be communicated as part of the full launch of the product.

The demand for affordable community housing, as measured by the wait list, continues to rise. In fact, 42.3% of renter households in Waterloo Region are paying more than 30% of their income on rent, which is considered the point at which housing is unaffordable. In the absence of timely, cost-efficient capital that is responsive to market needs, affordable housing providers/developers are not able to bid on projects, and opportunities are missed to support lower income community members.

“In Waterloo Region’s 2021 Vital Signs Report, we encouraged community members to experiment and try new things to take action on affordable housing,” says Lynne Short, Vice President, Waterloo Region Community Foundation. “We are pleased to be partnering with Kindred, and will continue to keep learning together, as they roll out this innovative product, and work together to provide impact investments to affordable housing providers so they can adapt current buildings and construct new ones. We welcome all feedback from community members throughout the launch of this first-time initiative.”

“We’re excited to partner with WRCF to deliver a new investment product that has a strong connection to Kindred’s purpose and values,” said Kindred’s Ian Thomas, Chief Executive Officer. “We have a commitment to inspire peaceful, just, and prosperous communities, and we believe this partnership is an innovative way to fund affordable housing developers in providing more long-term, permanent affordable housing in Waterloo Region. Plus, it provides a way for members to participate in addressing an important social issue and connect their values with their finances.”

It is anticipated that the Affordable Housing GIC will be available in early October and is eligible for non-registered, RRSP, RRIF, and TFSA accounts. The GIC is offered through Kindred at their current posted rate for a 4-year term, and is open to all interested investors, with a minimum investment of $500.

More information is coming soon and will be found on kindredcu.com. If you are interested in investing, you can contact info@kindredcu.com to be notified when the GIC is available.

About Kindred Credit Union

Kindred Credit Union is a member-owned financial cooperative based in southwestern Ontario. Kindred’s values-centred approach is woven into everything we do and makes us the one-of-a-kind choice for those who want to connect their values and faith with their finances. Kindred offers a complete range of banking, borrowing, and investing products and services through eight branches and online. Members benefit from access to over 43,000 surcharge-free ATMs through THE EXCHANGE® Network in Canada and the Allpoint Network in the US. To learn more about Kindred, visit kindredcu.com.

Media Contact

Frank Chisholm
Director, Brand and Marketing
Kindred Credit Union
519.746.1010, Ext. 5211
frank.chisholm@kindredcu.com