Under its new Chair and Chief Executive, Family Housing has replaced elements of its historic loan book. Supported by Centrus, they have removed the covenant constraints that held back the delivery of their vision. Having now entered into new facilities with Barclays, Principality and a bond with GB Social Housing, Family Housing is now able to move forward, supporting Welsh Government’s aspiration of creating more affordable housing, with its own ambitious plans to build 700 new homes. As part of their plan Family Housing are looking to “build back better” by developing low carbon homes of the future with like-minded development partners.
Marcia Sinfield, Chief Executive, said “ We established a clear set of objectives of what we wanted to achieve, and Centrus provided first class support throughout the project, enabling us to find a solution which unlocked previous financial constraints. The joint working of the Board and Leadership Team was great to see, and I look forward to the next stage of our journey .”
Jackie Royall, Chair of Family Housing commented “I am delighted that we have been able to complete these transactions. The current climate required a real strength of nerve and clarity of decision making. We now have in place a financing structure and balance sheet which allows us to concentrate on our ambitious plans for growth .”
Family Housing is a diverse organisation with just under 3,000 properties. It manages both general needs, supported housing and extra care schemes. It covers five local authority areas including the Swansea Bay City Region.
The successful implementation has substantially increased growth and investment capacity, created a more diversified funder base having established new relationships with flexible and pragmatic institutions, achieved a more balanced approach to fixed/floating rate debt with options to undertake further hedging in the future and mitigated refinance risk. We are delighted to share some positive feedback following the successful completion of this project:-
Centrus, our advisors, commented “ This engagement presented an unusual set of challenges, not least the existing financing position and closure of the transactions in highly volatile market conditions arising from the Covid-19 pandemic. Family Housing was able to exercise effective governance throughout.”
Richard Whittaker, Relationship Director, Barclays Bank “ We were really pleased to continue with our longstanding support for Family Housing, working with the team and Centrus in restructuring existing term debt and through the provision of a new revolving credit facility which will help this ambitious Housing Association to achieve its objectives .”
Gerhard Oberholzer, Director, GB Social Housing “ It was a pleasure working with Family Housing and their advisors on this funding and though the process was complex, the ultimate goal was always clear. One of our main objectives in funding Associations is to help generate momentum in their business plans and the Family Housing funding is a very good example of how this can be achieved .”
Jan Quarrington, Social Housing Manager, Principality Commercial “ We’re proud to be supporting Family Housing. As a mutual Society, we are committed to ensuring people can prosper in their homes and communities and we are delighted that the funding will enable the development of much needed homes in the Swansea region .”