SVA Diversified Impact Fund    

Investor update, March 2021

Photo: Visualisation of AccessAccom's Sky Gardens in Ryde, NSW.

Dear Investor,

Since sharing our annual report In October last year, it is with great pleasure that we announce a $1M mezzanine debt investment to fund the acquisition of 11 new apartments for the provision of Specialist Disability Accommodation in the suburb of Ryde, New South Wales. This brings the Fund to approximately $7M of deployed capital.

We are also pleased to report that construction is well underway for the Diversified Impact Fund (DIF)'s Nightingale Village investment and that the Aspire Social Impact Bond has achieved strong results in its third year.

Our ultimate goal remains to create social impact in Australia by investing in social purpose organisations that have a demonstrated track record and are looking for capital to scale. As always, we welcome any investment leads or ideas that you may have.

Yours sincerely,
Rebecca, Alex, and Tim

Key Investor updates

• 3rd capital call (30% of total commitment): SVA will give investors no less than 30 days written notice of the third capital call. The final call is dependent on deal flow. At this stage, we expect this to occur in late 2021 at the earliest

• Annual report: will be available to investors in October 2021

• Tax Statements: will be issued shortly after the end of financial year. Should you require confirmation of holdings please contact our registry at info@oneregistryservices.com.au who will be able to provide these.

• Unit Price: The unit price as at 31 December 2020 was $0.6656 (unaudited). Quarterly unit prices are available here. Audited accounts will be made available with the Fund’s annual report.

Investment in AccessAccom’s Sky Gardens Project

Photo: Visualisation of AccessAccom's Sky Gardens in Ryde, NSW.

DIF’s $1M mezzanine debt investment funded the acquisition of 10 apartments (8 one-bedroom and 2 two-bedroom), modified to meet the National Disability Insurance Scheme (NDIS)'s High Physical Support design category requirements, and 1 one-bedroom apartment to provide On-site Overnight Assistance. Each apartment has highly accessible internal spaces, smart technology for monitoring, communication, home automation, adaptable features in bathrooms and kitchens, and attractive aesthetics that are consistent with neighbouring apartments.

We are thrilled to work on this project with Specialist Disability Accommodation (SDA) provider AccessAccom, an early entrant into the sector with a successful track record of delivering premium apartments, and a founding member of the SDA Alliance.

As at January 2021, tenants had moved into five of the apartments. This investment aims to generate positive social outcomes for people living with disability, their families, and the wider community. 

Nightingale Village

Photo: Work in progress, taken at a recent site visit to Nightingale Village Brunswick.

We are pleased to report that construction of Nightingale Village is progressing well. Nightingale Village is a 203-apartment residential project in Brunswick, Victoria. It consists of six buildings to be built upon former warehouse sites. Community housing providers Housing Choices Australia and Women’s Property Initiative have been allocated 15% of apartments and will be subsequently rented out at reduced rates to those experiencing disadvantage. The Fund has committed $1.5M of mezzanine debt towards the project, which has now been fully drawn.

The buildings are now well out of the ground, with slabs being poured on level 2 and level 3 on most sites. 195 apartments, or 96% of apartments have been sold, with a further 3 reserved. Completion is expected in late 2021 / early 2022.

Aspire Social Impact Bond 

Photo: Aspire staff. Aspire is celebrating its third year of service delivery. 

The Aspire Social Impact Bond (Aspire SIB) is Australia’s first homelessness focused SIB, based in South Australia.

On 30 June 2020, Aspire came to the end of its third year supporting people experiencing homelessness in Adelaide. The outcomes data has demonstrated that participants experience a significant reduction in accessing justice services, emergency accommodation and hospital bed days in comparison to the baseline that program results are measured against.

In its first three years, Aspire has achieved results at or above the ‘outperform’ scenario for all three metrics. The intervention group comprises of 430 individuals, of which 238 participants (55%) have been placed in housing, with 88% of those people maintaining their tenancies.

Fund portfolio

Got a great deal referral?

Do you know a great impact organisation that is generating revenue and ready to scale? Let us know! Our investment criteria are:

• Ability to create meaningful social outcomes for people experiencing disadvantage in Australia
• Either at least $500,000 annualised revenue (for equity) or security available (for loans)
• Minimum investment ask of $500,000

Send your referrals to makeadif@socialventures.com.au

The information in this email is for general information purposes only and in passing it and any other material on to you Social Ventures Australia (SVA) is not providing you with any legal, tax, investment, financial or other advice. Nothing in this email should be construed or relied on as a representation, recommendation, endorsement, solicitation or offer by SVA or any third party in relation to any organisation, financial products or other investment. Before making any commitment of a legal or financial nature, you should carry out your own inquiries and seek such professional advice as you may require. SVA does not receive any remuneration or other benefit for passing on this information.

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