Citi recently announced the issuance of its first Affordable Housing Bond. The transaction consisted of a $2.5 billion four-year non-call three-year fixed to floating rate note issuance, the largest-ever social bond from an issuer in the private sector. The use of proceeds from the bond will finance the construction, rehabilitation and preservation of quality affordable housing for low- and moderate-income populations in the US.

In conjunction with the bond offering, Citi unveiled a new Social Bond Framework for Affordable Housing to detail how projects and assets will be selected. Citi will publish an Affordable Housing Bond report detailing use of funds and allocation. Sustainalytics has reviewed Citi’s Social Bond Framework for Affordable Housing and confirmed in its Second Party Opinion alignment with the four pillars of the ICMA Social Bond Principles 2020.