Incommunities secures £50m from new banking partner

According to its results for 2022-23, Incommunities invested £19.6m in its existing homes and completed the development of 84 new affordable homes during the year, with a further 336 on site.

Its unaudited results for the six months to 30 September 2023 showed that the provider invested £12m in its stock during the period and expected to deliver 218 new homes, spending £56m in the second half of 2023-24.

Incommunities’ plans include continuing to improve property conditions for its existing customers and developing around 1,500 new homes over the next five years.

John Wright, executive director of finance at Incommunities, said: “This is excellent news for us. We welcome ABN AMRO as a new banking partner and look forward to working with the ABN AMRO team.

“Both the competitive pricing and flexibility within this new funding will enable us to further invest in our existing homes, delivering on our commitment to our customers.”

Rutilio Merién, head of UK coverage real estate at ABN AMRO Bank, said: “We are delighted to start this partnership and provide Incommunities with new funding, facilitating its commitment to develop new homes as well as improving existing ones.

“ABN AMRO bank is pleased to further support the social housing sector and look forward to building a strong and long-term relationship with Incommunities.”

Chatham Financial and Devonshires supported Incommunities with the deal.

Zachary Kiefer, a director at Chatham Financial, said: “The structure of the facility provides flexibility and generates capacity for Incommunities to deliver its important objectives centred around improving homes, growing communities and enhancing the experience of residents.”

Incommunities is currently rated G2/V1 by the Regulator of Social Housing.

According to its results for 2022-23, the group posted a pre-tax surplus of £940,000, a drop from £3.6m in the previous year. Turnover was £104.4m, up from £102.1m in 2021-22.