Non-bank lender M&G Investments has granted a £40 mln (€50.4 mln) loan to UK housing association One Vision Housing, which provides more than 11,500 homes across the Merseyside area in northwest England.

Non-bank lender M&G Investments has granted a £40 mln (€50.4 mln) loan to UK housing association One Vision Housing, which provides more than 11,500 homes across the Merseyside area in northwest England.

The 30-year facility will be used to refinance One Vision's existing bank debt, fulfil its development ambitions and continue its regeneration work.

London-based M&G Investments, which manages over £248 bn of assets for individuals and institutions, has been one of the alternative players to step into the UK property financing market in recent years as traditional bank lenders have retreated following the financial crisis.

'Our pension fund clients continue to seek cash flows over the long term which are secured against residential property. M&G has now invested over £4 bn in UK social housing through property transactions, public bonds and private placements and we're keen to do more,' said Mark Davie, head of social housing at M&G.

One Vision Housing was advised on the transaction by the Royal Bank of Scotland and David Tolson Partnership.