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The Devonshires’ banking team has advised Accord Housing Group on its recent financing of over £135 million of group debt, which completed on 7 June 2010.
The deal converted an existing group subsidiary to act as a treasury vehicle, which then borrowed under a complicated financing structure involving cross collateralisation across the group. Facilities were negotiated with two lenders.
The proceeds of the refinancing were on-lent by the treasury vehicle to the charitable registered providers within the Accord Group - Accord Housing Association Limited, Ashram Housing Association Limited, Caldmore Housing Association Limited, Fry Housing Trust, Moseley and District Churches Housing Association Limited and Redditch Co-Operative Homes Limited.
Accords’ Deputy Group Chief Executive, Lakhbir Jaspal commented that “the new cross collateralised funding structure strongly supported the Group’s commitment to its federal structure, whilst optimising security across the Group. The new £135m loan facilities will be used in part to refinance existing debt, but the majority will be used to fund its on-going new build programme and the development of greener homes.”
The Devonshires team was led by Julian Barker, assisted by Carolyn Thomas and Eleanor James.
