星空传媒

The landlord, which acquired Thanet council鈥檚 stock on 19 December 1994, signed loans with Royal Bank of Scotland and Abbey in 1997. It will now switch to Lloyds TSB on 17 December.

Over the course of the 30-year deal, Thanet will be able to leave behind the more restrictive terms given to stock transfer associations, and embrace the more flexible terms offered to traditional associations.

Its good track record and a merger this year with Orbit Housing Group made this possible.

Traditional housing associations do not generally have to put up as much security as transfer landlords. They must ensure they operate within given financial ratios but do not have to get their business plan approved annually by the lender.

This gives them more control over changing their business activities.

The first three tranches of the loan, worth 拢5m each, will have fixed interest rates averaging 5%. Variable rates will be charged on 30% of the portfolio.

Compared with the old terms of the deal, Thanet will save 0.5% on the fixed-rate money in margins and lower-interest payments.

It will use the money to repay 拢28m of its existing loan and will put 拢5m into improving its properties.

Thanet also get better terms because it joined Orbit Housing Group on 1 April this year.

Claire Davis, Orbit finance director said: 鈥淎t the start of the process of them selecting Orbit, I spoke to lenders and they said they would get better terms.鈥�