L&G hands £70m ESG loan to Saxon Weald
Legal & General has handed a £70m loan to Saxon Weald housing association for a slew of energy efficient homes in the South East.
The deal marks LGIM Real Asset’s eighth ESG-linked foray into the corporate debt space.
The sustainability-linked long-term financing will be used to fund new homes in Sussex and Hampshire, with Saxon Weald targeting EPC A ratings on all new-builds.
Legal & General has handed a £70m loan to Saxon Weald housing association for a slew of energy efficient homes in the South East.
The deal marks LGIM Real Asset’s eighth ESG-linked foray into the corporate debt space.
The sustainability-linked long-term financing will be used to fund new homes in Sussex and Hampshire, with Saxon Weald targeting EPC A ratings on all new-builds.
Saxon Weald manages approximately 6,750 homes in the South East, including affordable rented and shared-ownership homes for individuals and families, as well as properties exclusively for the over 55s.
The deal brings LGIM Real Assets’ investments with ESG-linked credentials in the corporate debt space to more than £400m, with much of that directed to social housing.
“There’s a stark, deep-rooted supply-demand imbalance when it comes to good-quality, affordable housing in the UK,” said Steve Bolton, LGIM Real Assets head of corporate debt for Europe.
“This investment marks yet another example of inclusive capitalism at work, delivering a return to our pension holders while also benefitting our local communities.”
The deal was arranged by Centrus.
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