Legal & General’s Suburban Build-to-Rent business (LGSBTR) has secured a £150 mln (€169 mln) five-year revolving credit facility to finance its pipeline of 1,000 suburban Build-to-Rent homes in the UK.
Backed by HSBC UK, Barclays and Natwest, the facility follows LGSBTR’s recent announcement with Cala Homes on the exchange of 107 homes at Buckler’s Park, Crowthorne, in the South East of England.
This was the first forward funding transaction between LGSBTR and major homebuilder Cala, which are both owned by Legal & General Capital.
Jane Sullivan, finance director, Suburban Build To Rent – Legal & General Capital, said: ‘To have secured a facility of this size in such a challenging credit environment is testament to the merit of the product that SBTR is delivering, as well as the strength of relationship with our banking partners.’
Michael Goode, director & BTR Lead – NatWest, added: ‘We believe the structural fundamentals will support single-family BTR in becoming a leading UK investment sector, as has been demonstrated in more mature rental markets overseas.’
