IDB Invest has helped to strengthen the foundations of a company that builds sustainable housing developments for low- to middle-income families in Mexico.
Vinte is a mid-sized company that develops, promotes, designs, builds and sells affordable housing in planned communities that incorporate streets, shopping areas, schools and parks into the overall design. By 2017, Vinte had developed more than 28,000 homes, primarily in central Mexico, where affordable housing is in high demand.
IDB Invest has made several local currency operations with the company, including a 5 percent equity stake in 2013 and a seven-year revolving line of credit of 300 million Mexican pesos in 2016. These and other operations have allowed Vinte to diversify its sources of financing, strengthen its long-term financial profile, improve its liquidity management and reduce its cost of funding. The company began trading on the Mexican Stock Exchange in 2016.
For IDB Invest, our partnership with Vinte enables us to make a positive impact in different ways—first and foremost, by opening the door to thousands of low- to middle-income families to buy a home for the first time.
With our involvement, we are also investing in sustainability. The housing developments use designs, materials and fixtures that promote energy efficiency and water conservation to meet EDGE certification standards. (The acronym stands for Excellence in Design for Greater Efficiencies). Homes include such eco-friendly features as rooftop solar cells and wall meters that enable real-time monitoring of electricity and water consumption. These innovations not only save homeowners maintenance costs and reduce their carbon footprint, but also help maintain or increase their property’s value.
Vinte is a holding company with subsidiaries that develop, promote, design, build, and sell social-interest, middle-income, and upper-income housing, primarily in five states in the center of Mexico.
The proposed operation with Vinte is a revolving credit line for financing the construction of social-interest, middle-income, and upper-income housing in Mexico. The proposed line of MX$300 million will comprise a committed tranche of MX$200 million and an uncommitted tranche of MX$100 million.