London-based Aviva Investors has completed a £75 million n(€83.7 million) private placement with Settle, a not-for-profit housing association which manages over 9,000 properties across Bedfordshire and Hertfordshire.
It is the second private placement that Aviva Investors has made into the social housing sector in the past month, having entered into a £60 million, 30-year financing agreement with South Wales-based Coastal Housing Group in July.
Spanning 30 years and including deferred funding tranches at 12 and 24 months, the facility will help Settle in advancing its environmental, social and governance agenda, including the commitment for all properties to meet ‘EPC C’ standards or better by 2025.
The financing will also help towards the building of 1,500 new homes, including a targeted focus on shared ownership to meet the current supply shortage of affordable homes in the region.
Munawer Shafi, head of structured and private debt at Aviva Investors, said: “We are very happy to have completed this deal with Settle and further our investment in the UK’s social housing programme, at a time when the provision of such schemes is increasingly important for at-risk income groups across the country.”
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