Karbon agrees £200m in loan facilities to back investment plans

Karbon Homes has agreed £200m worth of new loan facilities with three lenders to support its investment plans.

The housing association, which manages more than 34,000 homes across the North East and Yorkshire, has agreed loans with its existing lender, Santander, as well as two new lenders, HSBC and Nationwide.

The enhanced liquidity will enable Karbon to invest in building new homes and improving existing stock.

“A chronic shortage of affordable housing in the North East and Yorkshire, paired with a need to ensure existing affordable homes are of the highest quality and our communities are supported, means investment in our sector has never been more important,” said Scott Martin, executive director of resources at Karbon Homes.

“We’re pleased to be working with HSBC and Nationwide as new funding partners, and are grateful for the continued support of Santander, which has been a key financing partner for a number of years. 

“This new liquidity will help ensure we have the financial capacity to deliver our strategy, so we can continue to build strong foundations for life for more people across the North.” 

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Mark Evans from Nationwide’s social housing team said: “As one of the largest lenders to the UK`s social housing sector, we are proud to welcome Karbon Homes as a new customer. 

“With the close alignment of our mutual social purpose, we are pleased to support Karbon Homes in its delivery of affordable, safe, and sustainable housing to some of the most vulnerable in our society.”