Hightown Housing Association has secured a £30million loan from bLEND funding Plc which will help fund its development pipeline of over 2,000 new affordable homes in the next five years.
The money was raised at a rate of less than 3% (2.984%). Hightown Housing Association, based in Hemel Hempstead, manage almost 6,500 affordable homes in Hertfordshire, Bedfordshire and Buckinghamshire.
David Bogle, Chief Executive of Hightown Housing Association, said:
“We are pleased to have secured 15 year funding at below 3%. We will use the money to build 1,000 affordable homes over the next two years to help reduce homelessness and house families who cannot afford to buy or rent at market rates.
“It has been good to work with THFC once again using the new bLEND borrowing option. The whole process, including the rating work, has been smooth, straightforward and expeditious.”
Piers Williamson, Chief Executive of bLEND and THFC, said:
“With over 160 borrowers in the THFC Group, we believe we are uniquely placed to use bLEND to match supply and demand for cost-effective funding.
“A number of prominent Sterling investors still have significant funds to invest. Where we can identify this interest and match it with a borrower, we believe we can bring a new form of competitive tension to bear, compressing credit spreads. But to do this, we need a strongly rated vehicle (bLEND) to underpin investor confidence in this market”.
Hightown Housing Association has a turnover of £82million and employs over 1,000 members of staff. Most staff are engaged in providing support to vulnerable and disabled people in Hightown’s services for homeless people, people with learning disabilities and people with mental health problems.