Ian Pickering

Together provides £150m facility for housing developers

Together is set to provide funding for the delivery of thousands of additional homes across the UK with the launch of its first £150m development finance facility.

The lender, which has a loan book of £6.8bn, revealed its inaugural securitisation facility for development lending, which aims to unlock the additional finance needed for building projects.

This will include experienced small and medium sized (SME) regional developers undertaking housing schemes, student accommodation, care homes, social housing and mixed-use projects.

Ian Pickering, the lender’s director of development funding, said: “Our new £150m securitisation facility will provide a much-needed shot in the arm to housebuilding schemes across the country and help developers fill some of this backlog of ‘missing homes’.”

He added: “We know from our own research that there is a huge appetite from UK small and medium enterprise (SME) house builders for projects around the country.

“We’d expect to see this demand continue to grow, supported by lower borrowing rates, a continuing decline in inflation and growing wages.

“Together’s new funding facility will open doors to even more property developers and help them provide much-needed homes across the UK.”

Together’s new £150m securitisation facility, known as ADALO, is supported by a portfolio of loans secured against developments in England, Wales and Scotland, and refinances assets forming part of the group’s senior secured notes.

The new facility complements the group’s existing seven public residential and four commercial real estate mortgage-backed securitisations (MBS), six private securitisation facilities, senior secured notes and banking syndicate facility.