New Network Housing Group subsidiary Riversmead Housing this week signed a transfer loan agreement as part of an innovative deal that will allow RSLs across the group to bulk buy private finance.
The £57m loan facility, designed to allow East Hertfordshire council to transfer stock to Riversmead, is part of a £227m facility organised by Barclays and Halifax banks with Abbey National.

The loan will be routed through a new Treasury vehicle, Groupfund, that Network’s subsidiaries will be able to access.

London Strategic Housing, which Network will soon register as its key-worker housing arm, will also be able to access the loan.

Bulk buying of private finance will give newer members of the group access to more competitive terms, Network explained.

Riversmead’s deal was negotiated on top of the previously arranged £170m Groupfund facility.

Source

Housing Today