InfraCredit Guarantee N3bn to Support Affordable 370 Housing Project in Nasarawa

Kayode Tokede

InfraCredit has announced the guarantee of N3 billion initial debt financing under a N12.5 billion debt programme for Modern Shelter Systems and Services Limited for the development of 370 affordable housing units according to IFC’s green building standard (EDGE) in Nasarawa Technology Village under a co-financing structure with the Shelter Afrique Development Bank.

The company in a statement said the project aims to develop up to 1,200 EDGE-certified housing units in Nasarawa State.

The Chief Executive Officer of InfraCredit, Chinua Azubike in the statement said, “We are excited with the successful closing of this transaction and the significance of the project in the housing sector, because of our ability to replicate and scale its impact. Sustainable green housing delivery is the pathway to a balanced built environment, and with the success of this transaction with Modern Shelter, we have a unique opportunity to work with our development partners in demonstrating innovative financing solutions to transition into new buildings, designed to meet energy efficiency standards, create green jobs and support climate resilient economic growth. The Nasarawa Technology Village project underscores a successful example of public–private partnerships as a mechanism of unlocking climate financing for sustainable development. “

The Managing Director of Modern Shelter, Abdulmalik Mahdi in a statement said: “Modern Shelter is proud to have emerged as a pioneer adopter of EDGE in 2021 (under a previous project Earth-Point Modern Shelter) and this recent transaction marks another significant milestone for Modern Shelter, providing us with access to stable, well-structured, long-term funding essential for delivering EDGE-certified affordable housing.” 

The Head of PIDG TA, Emilio Cattaneo in a statement said: “PIDG is proud of its involvement in this project since early 2021, and to have supported InfraCredit and the Housing Solutions Fund through the provision of a grant facility to finance a number of the critical workstreams of this pioneering initiative.”

Chief Investment Officer, Housing Solution Fund, Maurice Okoli in a statement said, “I firmly believe that increasing homeownership accessibility and affordability relies on embracing innovative and collaborative frameworks. Our commitment is unwavering as we strive to eliminate fragmentation within the housing sector while fostering strategic partnerships in a dynamic ecosystem that spans both the demand and supply sides.”