Recently merged Welsh housing association secures £70m financing

The new homes will span across Ceredigion and Powys counties and will support Barcud’s objective to be a sustainable, low-carbon housing association, it said.

Phoenix worked in collaboration with its strategic asset management partner, Aberdeen Standard Investments, to complete the transaction.

Barcud said the funding had been obtained “at a fixed rate significantly below our business plan assumption”, but has not disclosed the cost of either deal.

Kate Curran, group director of finance and ICT at Barcud, said: “The funding from Phoenix has ensured that Barcud can achieve its business plan objectives of providing additional, affordable and energy-efficient homes for communities across Mid and West Wales.

“The transaction is linked to our sustainability objectives through various environmental, social and governance measures.”

Michael Eakins, chief investment officer at Phoenix Group, said: “We are delighted to have completed this transaction to provide energy-efficient social housing across the Mid and West Wales region as we continue to innovate with our capital to drive environmental and social impact.

“Structuring this deal with energy efficiency targets drives to the heart of our sustainability agenda and our focus on ensuring our investments help to build back better and greener.

“We know that there is a chronic shortage of housing across the United Kingdom and we are committed to helping people and communities in every corner where we can.”