Magenta Living rounds off £77m backing
The Wirral housing provider has completed a 2026 financing package to boost its hopes of building 1,300 homes by 2030 across the Liverpool city region, with Danske and Charities Aid Foundation Bank joining the group’s lenders.
Both of these arrangements, said Magenta, are landmark deals. The £12m secured with the Charities Aid Foundation Bank is one of that organisation’s largest ever loans, while the £10m deal with Northern Ireland-based bank Danske marks its eagerness to expand into the English market.
CAF Bank’s loan will be used to build new properties for social rent with a strong focus on energy efficiency. A CAF Bank ‘green loan’ means cheaper borrowing and a partnership approach to achieving EPC ratings of B or above in the new homes, specifically the development of 94 green homes in Birkenhead, Magenta said.
The RP added that the loan reflects the strong social value credentials of Magenta Living and its investment in the community, aligning with CAF Bank’s stated mission to create positive change.
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“CAF Bank is solely dedicated to supporting and working with charities and social purpose organisations,” said Iain Smith, CAF Bank relationship director. “The way Magenta Living build safe and secure homes couldn’t be a better example of an organisation we are proud to support.
“The commitment to building new energy efficient homes is another shared aim, keeping costs down for Magenta Living’s customers, and furthering our shared commitment to a more sustainable future.”
Schemes put into motion in the last few months by Magenta include a 136-home development with Anwyl on a former fuel storage depot in Eastham, and 54 homes off Naylor Road in Birkenhead.
Paul McGrady, Magenta Living chief finance officer, said: “Both of us have had to invest in new processes to make the loan happen, but it has been worth it to be able to collaborate with a bank that has such a strong history of social value.
“Similarly, our arrangement with Danske reflects our ambitious decision to grow and provide more homes in Wirral.”
Terri McCullagh, relationship director at Danske Bank, said: “Danske Bank has an established and growing presence in the social housing sector across the UK and is committed to supporting housing providers in delivering new affordable homes and investing in communities.
“This transaction is particularly significant for Danske Bank as our first housing association financing in the Liverpool City Region and reflects our continued commitment to supporting the social housing sector across Great Britain. We look forward to developing a long-term relationship with Magenta Living and supporting its future ambitions.”
The loans complete a 2026 £77m funding round for Magenta Living alongside £40m from Santander for new-build, which was announced in July, and £15m from Barclays for retrofitting existing housing stock.
Magenta said that 85% of its new properties will be on the Wirral, with the rest in other areas of the LCR.
McGrady concluded: “We are moving quickly to put our capital to work on building new properties and refurbing homes. The success of our funding round is also a vote of confidence in Wirral, and we will be returning to market again to further fund our ambitious programme.”
