The development loan provided to elderly care operator and end-to-end developer, Oakland Care, will finance the development of a brownfield site to create a 70-bed care home over the next two years.

 The development will combine PV panels and air source heat pumps for a heating and hot water solution, with the aim of creating a sustainable while driving bills down for the operator.

 This is the first lending agreement between Octopus Capital and Oakland Care, with DC Advisory acting as broker.

 Jenna Hollins, investment manager of real estate debt at Octopus Capital said: “The UK care sector faces a significant challenge due to a shortage of quality care homes and an increasing ageing population.

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"To help address this, we’re lending to developers that we can trust to build care homes we would be happy for our own loved ones to live in.

“By working alongside the established and experienced team at Oakland Care — who put quality and service at the heart of their homes — we can support the delivery of care homes that are fit for the future and meet the evolving needs of society.”

 Joanne Balmer, CEO at Oakland Care, commented: “We are delighted to be partnering with Octopus to deliver our new 70-bed care home in Fleet — a development that represents both a strategic growth opportunity and a bold step forward in sustainable care.

“This home will incorporate advanced sustainability features that not only helps reduce environmental impact but also drives long-term operational efficiencies. With Octopus’s backing, we are confident in our ability to scale responsibly while delivering strong, values-led outcomes for residents”