The Scottish housing, care and property-management group has secured the finance from Royal Bank of Scotland and Bank of Scotland as it looks to roll out 3,500 new affordable homes.
The new funding comes in the form of a five-year revolving credit facility and takes the amount raised by Wheatley in the past three years to fund its Scottish building programme of affordable homes to over £500m.
The group’s largest partner GHA was visited by the Scottish first minister Nicola Sturgeon (pictured above, left) as it developed 105 flats and terraced houses in Glasgow.
“Access to good-quality housing is a vital part of our drive to secure economic growth, promote social justice, strengthen communities and tackle inequalities,” said Mrs Sturgeon.
“That’s why this government is investing more than £3bn to deliver at least 50,000 affordable homes – 35,000 for social rent – over the lifetime of this parliament.”
The development was built on the site of a former Govan Tram Depot by contractors Cruden Building & Renewals Ltd.
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“The Glasgow development visited by the first minister today represents another notable milestone in Scotland’s largest affordable homes building programme,” said Alastair MacNish, chair of Wheatley.
“It is our intention to return to the capital markets in the next couple of years and to develop other means of securing additional private finance to continue funding our ambitious housebuilding programme across Scotland, from West Dunbartonshire through Glasgow to Edinburgh and the Lothians.”
Richard Hughes, relationship director at Bank of Scotland, added: “Wheatley’s development programme will see thousands of homes delivered in parts of Scotland with some of the most acute need for affordable housing.
“Our funding will help to ensure Wheatley can continue to provide high-quality homes and care across the country and forms part of our pledge to help Britain’s housing providers prosper with £500m of new funding during 2017.”
Meanwhile, Ian Sillars, head of housing finance Scotland and North for Royal Bank of Scotland, said that Wheatley was playing a vital role in helping to develop new homes.
“As a bank, we are delighted to extend our long-term relationship with Wheatley Housing Group and to provide additional funding to support the development of new affordable homes which will contribute towards meeting the national target of 50,000 new homes.”
Picture attributed to GHA