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Social Infra Ventures (SIV)

EDFI & Proparco

Social Infra Ventures (SIV)

EDFI & Proparco

SIV is a housing platform that provides affordable and climate-resilient housing in North, East and West Africa, starting with Morocco.

Project Details

The overarching objective of this project, prospectively involving EDFI and Proparco, is to create better-quality housing options for both rental and sales markets while supporting local MSMEs and boosting economic growth.

Social Infra Ventures (SIV) develops and finances green, gender-responsive, affordable housing. It follows an inclusive process to design and build its communities, providing units for both sale and rent to address credit and financing challenges faced by women and low- and middle-income families and individuals.

Sectors

  • Sustainable cities
  • Urban infrastructure
  • GreenBuildings
  • Climate resilience
  • Gender

Finance Target

  • Concessional debt from DFIs and climate funds for mezzanine and rental facility
  • Construction and mortgage financing from local commercial banks
  • Equity investment from proponent, local, and international investors. Exit strategy through capital market listing or strategic sale
Anticipated Impact
  • Climate-resilient affordable housing opportunities
  • Employment, 105,000 direct jobs, 79,000 indirect jobs
  • SIV’s gender-focused prioritize women MSMEs, enhancing their market access within project’s value chain
  • Enhanced role of SMEs in value chain (e.g 3000 local manufactures)
Support/Partnership Required

EDFI and Proparco are prospective investors. Concept approval received for mezzanine financing from Africa Go Green Fund / GCF / BII, and discussions are ongoing with Proparco for mezzanine financing for the Second Close; Clearance in Principle received from AECID for equity; rental financing from DFC, and construction debt from local banks in Morocco. However, additional equity capital is needed for the equity raise.

In essence, the project has received concept approval for EUR 5 million out of the EUR 15million equity capital need, with private sector and DFI investors currently processing EUR7-7.5 million, leaving a target of EUR 2.5 – 3 million to raise from the Alliance.