Housing association VIVID has announced a new £75 million sustainability-linked facility from bank Nationwide.

The social landlord says the ESG metrics embedded in the loan underpin its vision for ‘More Homes, Bright Futures’, sustainability and maintaining the highest standards of governance.

According to VIVID, the new facility will allow it to continue at pace to improve existing homes and build new energy efficient homes for its customers, at a time when there is an increased need and demand.

The loan has KPIs to reinforce its commitment to meeting housing need in a sustainable way. In 2022-23, the landlord built 1,390 new homes, making it the sixth largest developer of new homes amongst housing associations in England.

Duncan Brown, Chief Finance Officer of VIVID, said: “We’re pleased to be able to have secured this facility to continue to help us create homes and environments that have our customers at the heart.”

Jonathan Roberts, Group Treasurer of VIVID, said: “This loan is the perfect complement to our existing debt portfolio sitting between short-term RCF funding and longer-term bond debt. The facility is tightly priced and reinforces stretching ESG targets for us to deliver sustainable housing. We continue to be pleased with the support from the team at Centrus, the insights and expertise they bring in identifying funding partners capable of providing the flexibility, pricing and breadth of products we need to advance our growth and de-carbonisation journey.”

Heidi Billington, Director of Property Finance & Public Sector Lending at Nationwide, said: “We are delighted to welcome back VIVID as a customer of Nationwide and supporting them through the provision of a new 10-year SLL facility.  We look forward to working with this highly regarded provider of affordable housing and growing the relationship to support VIVID achieve its ambitions in the coming years.”