1,000 new homes Get finance deals from Homes England and HSBC
The government’s Levelling Up Home Building Fund and HSBC UK awarded the multimillion-pound loan package to Poole-based developer Wyatt Homes, which will build the homes. Around 30% of the new dwellings will be within reach.
In February, Homes England introduced the Levelling Up Home Building Fund, which provides loans to small and medium-sized businesses (SMEs) and developers with the goal of boosting development.
“Mezzanine funding further illustrates our commitment to support SME house builders and to partnering with one of the UK’s leading banks to construct much-needed new homes,” said Neil Elliott, Homes England’s head of structured real estate finance.
Getting the correct level of funding has been “difficult for SMEs in recent years,” according to Hadyn Beazer, financial director of Wyatt Homes, and receiving the funding package is a “critical milestone.”
“Wyatt Homes is an established South West house builder with a reputation for producing exceptional homes,” said Hugh Taylor, head of housing at HSBC UK.
Homes England and United Trust Bank created a £250 million ‘Housing Accelerator Fund’ in February 2021 to give development finance to small and medium-sized builders.
In October, Homes England and Lloyds Bank announced an additional £300 million in support for small house builders, with the goal of developing 10,000 new homes by 2025.
Homes England also announced a partnership with real estate finance business Octopus Real Estate in October, which could result in the construction of up to 750 new homes by SMEs.
The Greener Homes Alliance will give £175 million in loan financing and support to small and medium-sized home builders.
