Pension Insurance Corporation (PIC) has allocated £60m (€67m) to a community housing project in High Wycombe, UK.

The company, which insurers defined benefit pension schemes, provided the financing to Red Kite Community Housing Limited, a regulated housing association.

The money will be used to refinance existing debt and fund the construction of up to 375 new homes, Red Kite said.

The investment has been split into three tranches to match PIC’s liabilities, with assets maturing in 2030, 2033, and 2040. It has also been partly deferred by a year, to allow Red Kite certainty over the cost of funding its work.

Liz Cain, senior debt origination manager at PIC, said: “By working directly with Red Kite we have been able to shape a funding agreement which meets the needs of both parties, allowing the development of social housing, as well as backing the payment of our policyholders’ pensions on a secured basis.”

Ray Prior, group director of resources at Red Kite, said the investment would be “invaluable in improving homes and the lives of our communities”.

It is the fourth social housing deal PIC has backed this year, as it increasingly looks to real assets to match its liabilities and cash flow needs.

The insurer invested £75m alongside BlackRock in a debt issue from Trafford Housing Trust in January. This was followed by a £93m debt investment in a Welsh housing partnership in March, and £40m into debt issued by Aldwyck Housing Group in April.

In total PIC has invested £900m into UK residential property.