Capital Impact Partners, a nonprofit community development financial institution based in Arlington, Va., is offering up to $100 million of fixed-income investment notes designed to create positive changes in underserved communities, the nonprofit announced Thursday.
Capital Impact focuses on funding projects to improve education, elder care, food sources and health care in areas where it is difficult for entrepreneurs to get traditional loans.
The “Capital Impact Investment Notes” will be available for $1,000 or more to individual and institutional investors through investors’ brokerage accounts. The notes are available at fixed interest rates, with maturities that range from one to 10 years, through Incapital LLC, an underwriter and distributor of securities.
The notes are rated “AA” by S&P Global; this is the first time an offering by a community development financial institution has been rated by S&P, Capital Impact said.
“Through Capital Impact investment notes, we are creating the opportunity to drive financial activism by creating a product that helps investors create positive social change for people in communities across this country while also earning a return on that investment,” said Ellis Carr, president and CEO of Capital Impact Partners.
Capital Impact has in the past 30 years closed more than $2 billion in loans designed to create positive social change in underserved communities and increase access to social services.