Abri Group subsidiary raises £30m to fund development

Caroline Moore, chief financial officer at Abri, told Social Housing that The Swaythling Housing Society will use the loan to build more homes, as part of Abri Group’s target to build at least 10,000 new homes by 2030 by investing more than £2.6bn.

The group has allocated 75 per cent of its new build programme to social and affordable housing and has plans to maximise the number of homes delivered through modern methods of construction. According to its 2022-23 results, Abri built 1,017 new homes during the year.

Ms Moore told Social Housing: “As the founding housing association of the Abri Group, Swaythling Housing approaches its centenary in November 2025, and its core purpose remains unchanged: to create quality homes and thriving communities.

“These funds will allow the society to do just that: by building many more high-quality homes that our communities need, as part of the Abri Group’s commitment to building 10,000 homes by 2030, and by providing energy efficiency works to its existing homes.”

Vimal Gaglani, director of treasury and financial planning at Abri, said: “We believe that everyone deserves a safe, warm and sustainable place to call home, and we are very pleased to have secured £30m through Blend at a rate and maturity that meets our needs.

“We are grateful to THFC for their support and partnership in securing this loan, which will allow us to continue our work in providing affordable housing for the communities we serve in the South of England.”

THFC has amassed a loan book of more than £8.2bn to date with funding to over 160 housing associations. Blend has provided more than £1.5bn in finance and facilities to 33 borrowers.

Sharon Woodward, relationship manager at THFC, who facilitated the £30m deal, said it will “allow Abri financial flexibility” as the landlord presses ahead with its development plans.

“Abri is an incredibly strong organisation in terms of financial metrics and executive management, and we are confident that they will continue to build upon this solid foundation as they build much-needed affordable housing in the South of England,” she said.

Trowers & Hamlins was legal representative for the issuer, Devonshires for the borrower and A&O Shearman for the banks.

According to its latest financial results, Abri Group posted a pre-tax surplus of £43.9m in 2022-23, a rise from £28.3m in the previous year.