The following Banking & Finance guidance note Produced in partnership with Neil Waller of Trowers & Hamlins LLP provides comprehensive and up to date legal information covering:
This Practice Note explains the key bond issue, private placement and loan facilities deal structures used in social housing finance.
For more information on social housing finance transactions, see Practice Notes:
Social housing entities entering into finance transactions, and
The key financing terms in social housing finance
Most social housing finance is provided as general corporate funding rather than funding for a particular project or development.
Most financing is secured on social housing assets, but this is not always the case. There have been a few recent unsecured bond issues, for example the £400m unsecured bond issue by Places for People in August 2016.
The key features which differentiate credit facilities for Registered Providers (RPs) from similar facilities to other corporate borrowers are as examined below:
Most facilities for RPs are given for general corporate purposes and can be used by the RP borrowers for any purpose which is permitted by their constitutional documents and the regulatory framework.
RPs typically charge a portfolio of properties which stand as security for all facilities made available under the relevant agreement. There is typically no link at all between the security provided by RP borrowers and the purpose for which the facilities are raised. In fact, typically, RPs will charge properties which they already
**excludes LexisPSL Practice Compliance, Practice Management and Risk and Compliance. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
Take a free trial
0330 161 1234