An affordable housing charity which provides rented accommodation to key workers in London has raised £24.7m through a retail charity bond.
Dolphin Living raised the finance to invest in its London portfolio from Retail Charity Bonds, a special purpose investment vehicle created by charity Allia.
The bond offered a fixed interest payment of 4.25%, payable twice yearly and maturing on 6 July 2026.
The offer closed within 24 hours, reflecting strong demand for the issue from social investors.
The Dolphin deal marks Allia’s fifth transaction through the platform, with previous borrowers including Hightown Housing Association, which borrowed £27m, and specialist organisation Golden Lane Housing, which raised £11m.
Phil Caroe, director of impact finance at Allia, said the organisation has now raised £116m through its five deals.
He added: “It’s open to any organisation with charitable status so housing associations will be a key part of that market.
“We are particularly looking to support those organisations that have some added impact to them, which have a real commitment to helping their local communities.”
Dolphin Living currently owns 600 units with a further 196 under construction. It shot to prominence in 2014 when it purchased the New Era Estate in Hackney, where residents had been threatened with eviction by a developer.
The organisation runs a bespoke rent-setting arrangement in which it fixes rents to a portion of a tenant’s disposable income which it believes is affordable.
It aims to provide places in London for key workers to live.