Bromford Flagship has secured £150m in sustainability-linked funding from HSBC UK to support its plans for affordable housing growth.
The funding backs its focus on building new energy efficient homes and upgrading existing ones.
The package includes a £50m term loan over seven years and a £100m revolving credit facility for five years.
Both facilities are tied to sustainability KPIs and will support the group’s plans to develop new affordable, energy efficient homes and invest in existing properties.
Director of Treasury Matthew Rose, said: “We are pleased to have finalised this significant funding deal with HSBC UK.
“Their increase in commitments to the group demonstrates the strength of the relationship and their continued support for Bromford Flagship’s strategic objectives which include the development of new, affordable homes, investment in existing homes and delivering high quality services to customers.
“The term loan and RCF together provide additional cash and liquidity to our newly enlarged group as we scale up our investment ambitions, enabling us to maintain our strong, sector-leading credit profile.”
Rose added: “We are delighted that the facilities include links to sustainability KPIs, which are seen as a helpful enabler for meeting key targets and focusing attention on the fundamental drivers of sustainability in our organisation.”
Stuart Taylor, head of social housing at HSBC UK, said: “HSBC UK is very pleased to extend our funding to Bromford Flagship with £150m of new facilities.
“Bromford Flagship has a clear growth strategy – including ongoing merger discussions with LiveWest – with the aim of delivering more new affordable housing while continuing to invest in their existing homes.
“This is great news for those communities where affordable housing is limited and will help get more people into their own homes.”
