Pocket Living has secured a new senior debt package with Lloyds Bank, which is capable of being scaled up to £100m. It is the third facility Pocket has secured with Lloyds Bank, which has helped to fund the delivery of more than 1,000 homes.
The bank’s initial commitment to the debt facility of £24.2m will fund a 100% affordable living scheme on Sheepcote Road (pictured), Harrow, which will deliver 149 one-bedroom homes available at a 20% discount to market value to first time buyers living and working in Harrow.
As part of the funding for Sheepcote Road, Pocket has also signed an agreement with the development’s main contractor Legendre UK to provide an unsecured loan of £2.5m to fund the start of construction.
Paul Rickard, chief financial officer at Pocket Living, said: “We have built over 1,000 first-time buyer homes with Lloyds Bank and this new funding allows us to not only build on that with up to a further £100m in development funding, but also introduces important new flexibilities that allow us to partner in a new way, including with Legendre UK.
“With this vote of confidence and by introducing new ways of working in response to the current market challenges we will be able to deliver even more affordable homes for London.”
Chris Middleton, finance director at Pocket Living, added: “It was great to secure our third facility with Lloyds Bank which, in turn, has created a stable platform for delivering our future pipeline. We have circa 1,000 homes in our forward look plan which will be coming forward for construction funding over the next few years. How we fund these homes is critical and this new facility will be part of that solution.”
Sam Shah, director and alternative residential lead at Lloyds Bank, said: “We’re proud to support Pocket Living to create affordable, quality housing, making buying a home in London accessible for more people, particularly first-time buyers. Through our support, one thousand affordable homes have been built in the city, and we look forward to working with Pocket on unlocking future housing opportunities in the capital.”
Thomas Vandecasteele, managing director at Legendre UK, added: “We are thrilled to announce our partnership with Pocket Living. As the second of its kind for Legendre UK, this collaboration underscores our unwavering commitment to the UK market. Our solution-focused approach and dedication to working closely with our clients are clearly reflected in this partnership.”
