£225m of fresh loans arranged for Great Places
Savills’ treasury and funding advisory team has supported the housing group in agreeing new loans with NatWest, Santander and incoming lender Nationwide.
Existing lenders, NatWest and Santander are providing additional funding of £50m and £75m respectively, while Nationwide is providing £100m.
All three loans to the 26,000-home landlord are term debt facilities running for 10 years each.
The deals follow a £284m package of loans announced by Great Places in April 2024, including NatWest and Santander and also supported by Savills Financial Consultants.
Manchester-based Great Places, which provides affordable homes in over 30 local authority areas across the North West and South Yorkshire, will use the funds to continue to provide new homes and improve the lives of the people living in its communities.
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Commitments in Great Places’ 2024-27 corporate plan include investing in its current stock and building around 4,000 new affordable homes.
The additional funding includes sustainability-linked performance measures. These see a reduced interest rate should Great Places meet agreed energy efficiency targets on new and existing homes.
Nationwide’s agreement also contains provisions to document sustainability measures, which Great Places will agree over the next year.
Mike Gerrard, chief financial officer at Great Places, said: “We are delighted to have secured this significant funding package with NatWest, Santander and Nationwide.
“This investment is a testament to the confidence our lenders have in our vision and our commitment to providing high-quality, affordable homes.
“The additional funds will enable us to continue our ambitious development plans, improve our existing housing stock and make a real difference in the communities we serve.
“We are particularly pleased that these agreements include sustainability-linked performance measures, which align with our goals to enhance energy efficiency and sustainability across our portfolio.”
Mike Roche, a Manchester-based director at Savills Financial Consultants, said: “Our team is proud to have continued our relationship with Great Places, supporting them to deliver for their customers by realising their business plan aims to 2027.
“The high quality of the work by Great Places has allowed us to swiftly agree these deals with existing lenders NatWest and Santander – and of course to build a strong relationship with new Great Places partner, Nationwide.”
In March, Great Places secured a 43-home consent in Bolton. The organisation is also working with Kellen on a 200home project in Stockport and on an overhaul of the Grey Mare Lane estate in east Manchester.
Clive Williams, senior lending manager at Nationwide, said: “We look forward to working with Great Places as they continue to invest in their existing stock and build new homes, which is closely aligned to both our sustainability targets and our social objective of being a beacon for mutual good.’’
Devonshires advised Great Places. Pinsent Mason advised Nationwide, with Addleshaw Goddard representing NatWest and Santander.
