Housing 21 raises £120m through a bond tap issue
On 7 August 2020, Housing 21 priced a £120m tap of their 2017 bond issue. A spread of 153 bps represented a negligible new issue concession with an all-in cost achieved of 2.187%. The issue was extremely well received by the market with an order book in excess of £320m. The funds will support Housing 21’s ambitious development plans to build 800 units per year by March 2022.
Paul Weston, Chief Financial Officer, commented: “The funds raised allow Housing 21 to lock in low rates of interest to fund our future development plans. The transaction was highly security efficient with funds received totalling c£147m. Participation from both existing and new investors was very encouraging and demonstrates the support for the important work that Housing 21 are doing to provide more homes for older people of modest means during these challenging times.”
Housing 21 were supported in the transaction by NatWest Capital Markets who acted as bookrunner and Chatham Financial who provided treasury advice. Legal advice was provided by Devonshires for Housing 21 and Addleshaw Goddard who acted for NatWest. Valuations were provided by Jones Lang LaSalle.
Housing 21 Annual Report and Financial Statements 2019/20
Our Annual Report and Financial Statements for the financial year 2019 - 2020 are now available.
S&P Rating Review - July 2020
On 24 July 2020, S&P affirmed the long-term issuer rating of Housing 21 at ‘A’ with a stable outlook.
£8m North Yorkshire Extra Care scheme is complete
An extra care development for people over the age of 55 in Great Ayton has successfully completed construction work.