Transforming Urban Spaces – Elfi’s Sustainable Housing Projects with SCG
Discover how Elfi, a Dutch residential real estate brand, partnered with Sustainable Capital Group (SCG) to secure €170 million financing in total for their innovative and sustainable housing projects in the Netherlands. Learn how Elfi’s commitment to sustainability led to the acquisition of green loan discounts and facilitated the transformation of outdated office buildings into high-quality, energy-efficient homes.
About Elfi
Elfi is a leading Dutch residential real estate brand and proptech platform committed to sustainability and customer-centricity. Their mission is to develop high-quality, sustainable rental units where tenants can live at fair prices.
Project 1: From Offices to Eco-Homes
Location: Randstad region
Objective: Transform old office buildings into high-quality, energy-efficient rental homes, focusing on tenant experience and reasonable market rents.
Challenge: Securing pre-development portfolio financing without secured zoning or permits.
SCG’s Role:
- Developed a comprehensive financing strategy
- Created detailed financial models and marketing materials
- Led investor outreach and negotiated favourable terms
- Provided expert transaction management
Outcome: SCG successfully secured €125 million in senior financing across three facilities (Pre-Development, Construction, and Investment), with a 40 basis points green loan discount on the Investment facility.
Lender: ABN AMRO
Project 2: Affordable and Sustainable Homes in Rijswijk
Location: Rijswijk
Objective: Transform three outdated office buildings into 244 high-quality, energy-efficient residential apartments with commercial spaces, amenities, and outdoor areas.
Challenge: Navigating the financing for a large-scale residential conversion project.
SCG’s Role:
- Developed a tailored financing strategy
- Created marketing materials like an Investment Memorandum (IM) and Teaser
- Pitched the financing opportunity to investors and negotiated terms
- Managed transactions and facilitated the closing process
Outcome: SCG secured €45 million in senior financing, with reductions in interest at the completion of certain milestones, incentivising sustainability.
Lender: Tristan Capital Partners
Read more about green loans and sustainability discounts in our blog about sustainability-linked loans.
What the client says about us
Jasper de Rooij, Founder & Managing Director of Elfi, praised SCG’s pivotal role in securing capital and enabling the growth of their housing platform. He highlighted SCG’s proactive, hardworking, and friendly team, emphasising their seamless integration into Elfi’s operations:
“SCG has played a pivotal role in securing capital for Elfi and enabling the growth of our housing platform. Over the past two years, they have not only helped us to raise the necessary capital, but also provided valuable guidance on implementing new processes into our operations as we grow our platform.”
Conclusion
Through strategic financing and close collaboration with SCG, Elfi has successfully advanced its mission of creating sustainable, high-quality residential spaces. The combined €170 million financing for their projects showcases their leadership in transforming urban spaces while prioritising sustainability and tenant satisfaction.
Want to know what we can do for you?
At Sustainable Capital Group, sustainable finance is our expertise. Our team of sector experts is ready to assist you whether you’re seeking future-proof financing or equity for your projects and/or company. Simply fill out our contact form, and we’ll reach out to you shortly.