UK housing association One Housing has secured an £85M loan from M&G Investments to build 1,450 homes in the UK.
The 35-year loan will support the development of 1,050 residential units for social and affordable rent, and a further 400 properties for market sale by 2020.
Paul Rickard, finance group director at One Housing, said: “This innovative loan, using the growing value of our shared ownership portfolio, will help us to build thousands more high-quality homes to meet the critical demand in London and the South East.”
Overall, One Housing plans to develop 4,000 homes across all tenures over the next five years.
M&G Investments’ head of social housing Mark Davie said: “One Housing already provides much needed homes in an area of the country where affordable housing is in short supply. This is our second transaction with One Housing and will enable further developments over the next few years.”
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