Pension Insurance Corporation (PIC) has invested £75m (€86.8m) in secured debt issued by Trafford Housing Trust, a housing association in Greater Manchester.

The insurer of defined benefit pension funds has invested alongside BlackRock Real Assets in a wider £275m refinancing package to fund both repayment of existing debt and further direct development.

Trafford Housing also has a joint venture with L&Q, a London housing association, to develop 500 homes per year.

The loan matures in three tranches in 2051, 2052, and 2056, matching PIC’s liabilities.

BlackRock said its involvement, also at £75m, brings a number of benefits for institutional clients, including stable, long-term cash flows structured on investment-grade quality social housing income.

Jonathan Stevens, head of European infrastructure debt at BlackRock, said the financing provides an “excellent opportunity” to invest in UK social housing, providing clients with “an inherently stable, long-term cash flow profile”.

PIC has previously invested around £150m in social housing PFI bonds in Greater Manchester, funding the refurbishment of almost 2,500 dwellings in the city.