Housing provider secures £284 million funding

Greater Manchester housing provider, Great Places, has secured £284 million funding to support further investment in new and existing properties.

The three revolving credit facilities (RCFs) from Santander, Natwest and ABN AMRO will help Great Places continue to invest in existing properties, as well as finance new developments. The organisation is currently bringing forward two affordable housing schemes in Stockport’s Town Centre West regeneration district at Chestergate and King Street West (pictured); it is already a significant housing provider in the borough following a 2020 merger with Cheadle Hulme-based Equity Housing Group.

The three RCFs with Santander (£109 million), Natwest (£100 million) and new lending partner ABN AMRO (£75 million) contain sustainability-linked performance measures that will see the 25,000-home organisation see a reduced interest rate should it meet energy efficiency targets on new-build homes and through improvements to existing properties.

Great Places currently has ambitions to develop around 9,000 new affordable homes by 2030 across the North West, Yorkshire and Derbyshire. It also plans further increasing resources to improve property conditions and customer services for residents.

Mike Gerrard, Chief Financial Officer at Great Places Housing Group, said:

“We are delighted to continue and develop our relationships with NatWest and Santander and welcome ABN AMRO as a new banking partner. We received strong interest from the banking sector for this transaction and it is pleasing to move forward with sustainability-linked funding. Thank you to the Great Places team and Savills for their insight and support.“

Mike Roche, Director at Savills Financial Consultants, said:

“There were a significant number of moving parts with these deals, so it is a testament to the Great Places team that they have been able to handle the process so diligently. The Savills Financial Consultants team has really enjoyed helping Great Places secure this increased financial capacity at the right pricing to help deliver their aims.“

The transaction was also supported by Devonshires, Addleshaw Goddard and the valuation team at Savills.