NHFIC to be chaired by property industry veteran Brendan Crotty
Brendan Crotty has been named as the inaugural National Housing Finance and Investment Corporation (NHFIC) Chair.
Crotty will formally commence his appointment following passage of the enabling legislation for the NHFIC.
The Federal Treasurer Scott Morrison says Crotty (below) brings considerable financial acumen, business expertise and property sector experience to the NHFIC Board.
He is currently a director of Brickworks Limited, General Property Trust and Dennis Family Holdings Pty Ltd and was Chairman of Western Sydney Parklands Trust for nine years to the end of 2017.
He was also the Managing Director of Australand Property Group from 1990 to 2007 and has been a director of a number of property, construction and technology companies since then but has resigned from most of these positions to take up the role of NHFIC Chair.
The NHFIC will administer an affordable housing bond aggregator to provide cheaper and longer-term finance for community housing providers. The NHFIC will also administer the $1 billion National Housing Infrastructure Facility which will invest in critical infrastructure to unlock new housing supply.
These important measures, announced as part of the comprehensive housing affordability plan in the 2017-18 Budget, continue the work of the Turnbull Government to ensure Australians have more opportunities to own their own home or access more affordable rental accommodation.
The NHFIC Board will comprise members with one or more qualifications, skills or experience across a range of disciplines, including banking and finance, law, housing (including social or affordable housing), infrastructure planning and financing, local government and public policy.
The Government will make further NHFIC Board announcements shortly.
The Government will provide an initial $9.6 million in 2017-18 to establish the NHFIC, which will commence operations from 1 July 2018.
The Government will settle the final details of the NHFIC following advice from the Affordable Housing Implementation Taskforce, due by mid 2017.
Stakeholders from the finance, community housing, developer and government sectors have shown strong support for a bond aggregator.
The bond aggregator model has been successfully implemented in the United Kingdom through The Housing Finance Corporation (THFC) which administers £5 billion in loans to housing associations.
The NHFIC will also administer the NHIF, a five-year $1 billion facility that will provide local governments with concessional loans, grants and equity to finance critical infrastructure required to deliver more housing supply sooner.