Freddie Mac Multifamily announced that it will go to market with the issuance of $230 million in social bonds supporting 1,267 rental homes across 39 states and the District of Columbia for individuals with intellectual and developmental disabilities.

The proceeds from these social bonds help fund community-based homes critical to the "deinstitutionalization" of care for individuals with disabilities, according to the GSE. The properties provide 4,462 beds, approximately 90% being affordable to people making 50% of the area median income. 

"Freddie Mac Multifamily is incredibly proud to bring our first Social Bonds transaction to market providing housing for individuals with intellectual and developmental disabilities," said Robert Koontz, senior vice president of Capital Markets for Freddie Mac Multifamily, in a prepared statement. "This transaction represents our commitment to ensuring safe, affordable housing that meets the needs of the community it serves. Our Impact Bonds, and specifically the Social Bonds framework, encourage innovation to provide solutions that meet the unique needs of underserved communities."

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Leslie Shaver

Les Shaver has been covering commercial and residential real estate for almost 20 years. His work has appeared in Multifamily Executive, Builder, units, Arlington Magazine in addition to GlobeSt.com and Real Estate Forum.