Vinte Viviendas Integrales, S.A. de C.V.

completed

_x000C_The proposed project consists of an IFC long term revolving facility of up to $12.5 million equivalent Mexican peso revolving facility to finance its working capital requirements for the construction of low income housing developments. To complement the financing of the company’s investment plans for the next three years, the company is also inviting IFC to make an up to $5.0 million equity investment in the company that will support the company’s long-term investments.Despite improvements in the access to finance for the housing sector in Mexico, mid-size housing developers still continue to face constraints in accessing medium to long-term financing. Their options are limited to project specific bridge loans offered by SOFOLES (local mortgage financial institutions), which are very rigid. This lack of alternatives results from the financial market’s lack of interest in lending on a corporate basis to second tier housing companies, in addition, the issuance of commercial paper or bonds on the domestic market is not a cost-effective financing alternative for mid size housing companies due to investment amounts required from institutional investors and the setup & maintenance costs of such capital markets structures.