Devonshires have advised Trafford Housing Trust on a £275m financing package, which will help deliver 2,000 homes over the next four years.
The deal involved four separate loans with Lloyds Bank, BlackRock, Pension Insurance Corporation and Yorkshire Building Society.
The Trust is in advances negotiations with L&Q to build around 500 homes each year, each with an £80m investment. A significant proportion of the Trust’s new funding is available to be ‘on-lent’ to joint ventures or subsidiaries.
Julian Barker, Partner at Devonshires said: “This is an extremely exciting deal for the social housing sector, providing Trafford Housing Trust with more flexibility to grow and diversify the business. The new arrangements give the Trust much greater flexibility to fund both its core activities and future joint ventures. It may also lead to more partnering between housing associations in the future.”
The Trust’s Deputy CEO Larry Gold said: “Trafford Housing Trust is a financially strong group of companies and this deal demonstrates great confidence among funding institutions in the Trust’s governance, leadership and ambitious growth strategy.
Helen Rourke, director of finance at Trafford Housing Trust added: “The refinancing gives the Trust more control over our assets and greater potential to invest in our strategy to deliver better homes for residents and significant numbers of new homes of all types across the North West.”