Magenta Living, Wirral's largest housing provider, has secured £77m in funding to build 1,300 new homes across the Liverpool City Region by 2030. The financing includes two landmark deals worth a combined £22m.
Funding Breakdown and Key Deals
The funding package features a £12m loan from the Charities Aid Foundation Bank (CAF), described as one of the bank's largest ever loans, and a £10m arrangement with Northern Ireland-based Danske Bank, which is said to be eager to expand into the English market.
The CAF Bank loan will be used to build new properties for social rent with a strong focus on energy efficiency. It will help achieve a B or above EPC rating in the new homes, including the development of 94 "green homes" in Birkenhead.
Reactions from Key Figures
Paul McGrady, Magenta Living's chief finance officer, said: "Both of us have had to invest in new processes to make the loan happen, but it has been worth it to be able to collaborate with a bank that has such a strong history of social value."
He added: "Similarly, our arrangement with Danske, reflects our ambitious decision to grow and provide more homes in Wirral. Danske operates primarily in Northern Ireland and is focused on expanding their activity across England and Wales."
Commitment to Energy Efficiency and Future Plans
Iain Smith, CAF Bank relationship director, said: "CAF Bank is solely dedicated to supporting and working with charities and social purpose organisations. The way Magenta Living build safe and secure homes couldn't be a better example of an organisation we are proud to support."
Terri McCullagh, relationship director at Danske Bank, welcomed the arrangement, saying: "Danske Bank has an established and growing presence in the social housing sector across the UK and is committed to supporting housing providers in delivering new affordable homes and investing in communities."
McGrady noted: "We are moving quickly to put our capital to work on building new properties and refurbing homes. The success of our funding round is also a vote of confidence in Wirral, and we will be returning to market again to further fund our ambitious programme."
The funding round marks Danske Bank's first housing association financing in the Liverpool City Region, and the bank looks forward to developing a long-term relationship with Magenta Living.
