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Origin secures £50m of finance to build more than 1,000 homes
Origin Housing has agreed a £50m funding package to aid the delivery of more than 1,000 new homes over the next five years.
The new £50m facility, which has been signed with Danske Bank UK, will also help fund improvements to Origin’s existing stock.
Origin, which manages more than 6,900 homes across north London and Hertfordshire, has plans to deliver 1,089 homes over the next five years, of which 80% will be affordable.
The development plan will see the landlord increase its housing stock by around 15%.
Danske Bank is one of the largest bank providers of finance to the social housing sector in Northern Ireland and has said it currently has plans to be more active in the sector across the rest of the UK.
Last month it was announced that the bank had agreed a £50m funding package with Irwell Valley Homes.
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Gloria Yang, deputy chief executive and finance director at Origin Housing, said: “This funding package will help us greatly with plans to deliver much-needed new stock to meet ongoing demand for social and affordable housing in the communities we serve in London and Hertfordshire.
“Housing is a long-term commitment, so it is important to us that we build new homes to meet future needs and continue to invest in homes that people are proud to live in. We believe good-quality affordable housing is a foundation for a successful life.”
“Danske Bank showed a great understanding of the social housing sector and really got to know the details of Origin’s long history. That the Danske Bank team shared the same passion for our social purpose and demonstrated their support for our mission really took the relationship beyond a simple commercial transaction for us.”
Mark Canning, head of the corporate relationship team at Danske Bank, said: “We are delighted to have been able to provide this funding to Origin Housing and we look forward to supporting the organisation’s growth and its programme to build new affordable housing over the next five years.
“Danske Bank UK is the biggest bank in Northern Ireland, where we have been the lead bank provider of finance to the social housing sector for many years. We are pleased to have completed this latest significant transaction in England, as part of our own strategic growth plan is to be more active in helping the sector across the rest of the UK moving forward.”
The transaction was arranged by advisers Chatham Financial.
Patrick Reim from Chatham Financial’s real estate team said: “We were delighted to advise Origin on the structuring of this debt facility from Danske; it incorporates some very unique components which will support Origin in the delivery of both new housing development as well as the investment in existing homes.”
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