Legal & General has granted a £40 mln (€50 mln) debt facility to Thames Valley Housing Association as part of its commitment to investing in the UK’s housing infrastructure.
Legal & General has granted a £40 mln (€50 mln) debt facility to Thames Valley Housing Association as part of its commitment to investing in the UK’s housing infrastructure.
Secured by schemes in Hammersmith and Tooting, the 25-year loan will be used to support TVHA's ongoing development activity, enabling it to build over 500 new units of housing.
L&G said this deal represents 'the first time that institutional finance has been provided to the housing association sector where it has been specifically structured and secured against key worker accommodation'.
Based in Twickenham, TVHA owns, manages or administers loans for over 14,500 homes in London, Berkshire, Surrey, Hampshire, Oxfordshire, Buckinghamshire, Wiltshire and Sussex. These include traditional rented housing, shared ownership, key worker and student accommodation.
As a long-term provider of investment capital, Legal & General has invested over £3.5 bn in UK infrastructure projects to date. The latest deal follows L&G’s £102 mln, 15-year debt facility to The Hyde Group last year, and forms one of several ways in which the company is looking to invest in the residential market, including build-to-sell, build-to-rent, large-scale inner-city regeneration and student accommodation.
Centrus Advisors acted as financial adviser to TVHA on the transaction.