The first Ohio-based institution to join IFF’s innovative Investor Consortium is Fifth Third Bank, which invested $2 million toward the $20.7 million note sale closed in August. Joining as another first-time investor is Midwest BankCentre, which represents an expansion of IFF’s investor base in St. Louis.
Thirteen financial institutions participated in this note sale, and a total of 46 have taken part in IFF’s Investor Consortium since it began in 2004. IFF has now raised $262 million in long-term capital from financial institutions and socially-motivated investors.
This note includes real estate, working capital, and equipment loans to nonprofits in seven states – Illinois, Indiana, Iowa, Michigan, Missouri, Ohio, and Wisconsin – that focus on charter schools, health care, special needs services, youth services, supportive housing, affordable housing, healthy foods, and more. Some of the loans covered by the note include those to Lakeview Pantry of Chicago, IL; Hawthorn Leadership School for Girls of St. Louis, MO; and Newbridge Place of Lodi, OH.
“IFF’s Investor Consortium offers investors an opportunity to do well by doing good,” said IFF President and CEO Joe Neri. “It provides them with a simple and secure way to own a share of a diverse and high-impact portfolio of community developments loans, supporting critical infrastructure investments in communities across the Midwest. We’re grateful to our investors for their continued support.”
The Consortium is now the primary source of long-term debt capital for IFF, supporting the nonprofit lender’s work throughout the Midwest and its strong financial position. Additionally, since the Consortium was first launched 13 years ago, investors have never experienced a loss. IFF remains one of the few community development financial institutions nationally to maintain a top-level AERIS® Four Star with Policy Plus for impact rating and AAA for financial rating.