Bradford housing association secures £225m bond for Yorkshire economy boost
Local housing association Accent Housing has priced a £225m public bond to deliver new homes and services across Yorkshire.
Accent, established in Bradford over five decades ago, has priced the bond at a coupon rate of 2.625 per cent. This is said to be the lowest rate ever secured by a housing association in the UK for a bond greater than 12 years in duration.
The bond, which has a term of 30 years, comes after over two years of planning to transform the association’s business, governance, finances and new corporate strategy.
Accent’s chief executive, Paul Dolan, said: “This is a fantastic outcome for Accent. It has exceeded all our expectations and it will help us improve the homes and services we provide across Bradford and make a huge difference to our residents.”
Accent aims to use the bond to build over 2,000 new homes across the country in the next five years. The association will also repay some existing debt, invest in its current property portfolio and provide new services for its 35,000 residents.
Accent’s executive director of ICT and finance, David Royston, added: “This is a brilliant result after what has been many months of hard work to make sure we are in the best possible position to help make our mark on the country’s housing crisis by developing new, affordable homes for people in need.”
The bond is said to have set a new precedent for future business in the social housing sector across England.
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