Fernham Homes has secured a £38m revolving credit facility (RCF) from Close Brothers Property Finance to support the delivery of more than 400 new homes in Kent.
The facility has been structured to support Fernham Homes’ pipeline of residential developments, offering flexibility and speed of drawdown and helping the SME housebuilder to manage cash flow across project stages.
Fernham Homes has already commenced work on the delivery of new homes at Sutton Valence, Faversham and Blean, which will be built out under the new facility. It intends to start work at sites in Yalding, Sandwich and Wrotham in 2026.
Sean Ellis, managing director of Fernham Homes, said: “This represents a cornerstone for the growth of Fernham Homes, providing the financial certainty and flexibility to enable us to scale up our business with pace and take us from delivering 50 homes per year to our target of over 400 annually in the next five years.
“We’re thrilled Close Brothers have chosen to pioneer this new RCF with Fernham Homes. It is recognition of our growth trajectory and potential of the business. It’s a true testament not only to the Fernham Homes’ 25-year legacy and track record, but also the credentials of our management team and quality of relationships we build with our stakeholders.
“A solution to one of the key challenges faced by SME housebuilders, highlighted in the government’s recently announced support initiatives, we also hope it can set a positive example of the potential that can be realised in this sector with access to more affordable, flexible and assured finance.”
Phil Hooper, chief executive officer of Close Brothers Property Finance, added: “For the last 50 years we have always worked to create bespoke solutions for our borrowers, and this revolving facility is a natural evolution of the decade long partnership between Close Brothers and Fernham Homes. It has been carefully tailored to provide them with the flexibility to accelerate their pipeline and continue building the high quality homes for which they are renowned. In what is undoubtedly a challenging market, we are proud to support the long-term strategic growth of our clients.”
