Proactive Realty Group in Orangeburg, SC, acquires and preserves affordable and workforce housing to address the affordable housing shortage in the US. The Black-led investment firm has acquired, restored and managed 10 properties containing 2,500 housing units across the US, offering the units at rents that are 20% to 30% below market value.
Its properties include manufactured housing communities, multifamily building and single-room occupancy low-income properties. It bought, for example, a 42.5-acre mobile home community in Indiana in which water services had been cut off for more than 100 residents. Proactive restored water access and renovated the property and made infrastructure upgrades.
Proactive is now in the market with a fixed-income strategy and a goal of raising $175 million. The Proactive Sustainable Bonds offers investors fixed monthly payments based on rental income from the underlying housing assets.
The bonds are open to accredited investors with a minimum $20,000 investment as well as to larger institutional investors.
The firm links a portion of its own profits to its impact outcomes, which are verified by Morningstar Sustainalytics, Impact Evaluation Lab and BlueMark.
