£100m funding secured to support development programme
A2Dominion has secured £100m of funding via two new bank loans to support its development programme.
The Group has agreed a £50m loan with Barclays being lent to A2Dominion Homes Ltd, and £50m with HSBC, being lent to A2Dominion South Ltd.
The funds will be available over the next five years to support A2Dominion’s development programme, which will deliver a range of new homes for sale, shared ownership, affordable and private rent across London and the South East.
Dean Tufts, A2Dominion’s Executive Director (Finance & Strategy), said: “These new loans demonstrate confidence in A2Dominion as a financially-strong business and add to the £1.6bn of facilities we have in place already, of which £300m remains to be spent on building new homes.”
Charles Sturton, Barclays Relationship Director, said: “Our relationship with A2Dominion is longstanding and for Barclays to provide funding to help them realise their vision of improving people’s lives through quality homes and services is an obvious fit for our ongoing commitment to the social housing sector.
“We continue to work with our valued clients as they develop and acquire homes that provide much needed shelter, and support, to those in our communities.”
Hugh Taylor, Head of Housing at HSBC, said: “London and the South East is facing a significant housing shortage and the provision of this £50 million funding package will help A2Dominion tackle it.”
The Group’s new loan from Barclays, which is a key lender to the housing association sector, is in addition to an existing £20m facility.
With HSBC, A2Dominion is diversifying its lending base with this being the first time it has agreed a loan with the bank.
For more information about investment with A2Dominion and to view the Group’s Annual Report & Accounts, visit www.a2dominion.co.uk/business.