Metropolitan Thames Valley has secured £250m of new funding through a 15-year sustainable bond issue that will “support it to build more new homes and help tackle the climate emergency.”
The new funding will help the organisation build a further 6,000 new homes, spending £2.1bn over this period, whilst continuing to make significant investments in improvements to existing homes and in response to building safety requirements. 80% of these new homes will be for affordable rents or shared ownership.
All new homes MTVH builds are to meet at least Energy Performance Certificate (EPC) B standard, or better, and existing homes meet a minimum of EPC C by 2030.
Subject to issue on 28 July, the bond will raise £250m at a coupon rate of 1.875%, only the fourth housing association transaction this year to obtain a yield of under 2%.
Geeta Nanda OBE, Chief Executive of MTVH, commented: “I am delighted that we have been able to secure this new funding. It will support us to meet our ambitions that everyone should have a home and the chance to live well and to improve the sustainability of our new and existing homes to help tackle the climate emergency.
“Our commitment to sustainability in how we are building the new homes that the country so desperately needs was really welcomed by investors.
“We have a strong track record across the entire ESG (environmental, social, and governance) agenda, but with this new resource we can do even more.”