£125m bond secured by social landlord
Published by Max Salsbury for 24dash.com in Housing and also in Finance
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Social landlord CHP has secured a £125 million public bond, which the company says will allow it to continue developing affordable homes for local people over the next seven years.
The bond will help the Essex-based housing provider - which recently received an AA- rating by credit agency Standard & Poor’s and an A2 rating from Moody’s - work towards its target of acquiring and managing 10,000 properties.
The bond is a fixed price loan over 30-years with interest charged at 4.79%.
CHP was recently awarded the highest ratings available for both governance (G1) and financial viability (V1) by the Homes and Communities Agency.
Having expanded its operations county-wide, CHP - which recently launched its 1,500th new build home in Goojerat Road, Colchester - also created earlier this year a development subsidiary, Myriad Homes, and a build company, Myriad Housing, to help it meet its development target.
David Hart, CHP’s director of resources, said: “This is tremendous news for CHP as an ambitious housing company committed to providing local people with affordable homes throughout Essex.
“The bond, and ratings from credit agencies Moody’s and Standard & Poor’s, signifies CHP’s strong financial history and its commitment to a long-term development programme. This is demonstrated further by the confidence shown by investors in CHP’s work, namely delivering a range of high-quality homes and first-class services to its residents.”
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