Legal & General has provided £100m (€111m) financing to Bromford Housing Group, a provider of affordable homes across central and south-west England.
The funding – made by LGIM Real Assets on behalf of its clients including Legal & General Retirement Institutional – will be drawn in 12 months’ time and will support Bromford’s strategic development goal to deliver 12,000 new affordable homes by 2028.
Legal & General first invested in Bromford in 2012.
Bromford recently announced their delivery of over 1,000 new homes in the year ended 31 March 2020.
Steve Bolton, LGIM’s head of private corporate debt, Europe, said: “Legal & General is uniquely placed to invest annuity money into the UK economy, supporting its long-term pension commitments and creating real assets which provide new jobs, housing, productivity and wage growth.
“We have a role to play in supporting the UK through the COVID-19 crisis and this latest investment is testament to that support.”
Imran Mubeen, head of treasury, Bromford, said: “We already benefitted from exceptionally high levels of liquidity and whilst there was no immediate requirement for new funding at this stage, this deferred deal reflects our pro-active approach to the market: locking in long-dated funding at historically low rates to future-proof our new homes plan whilst matching future interest costs with our required liquidity profile.”
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