Trowers & Hamlins advise on major refinancing of Newport City Homes' treasury portfolio
Top 40 law firm Trowers & Hamlins has advised Newport City Homes, the largest social landlord in Newport and provider of homes and services to more than 20,000 people, on a major refinancing of its treasury portfolio.
The transaction comprised a debut £95 million private placement with one of the lowest all-in interest rates ever achieved in the sector and a total of £30 million of term and revolving credit facilities. Newport City Homes has significantly reduced its ongoing funding costs and diversified its sources of funding as a result of the refinancing.
These financing facilities were used in part to refinance Newport City Homes' existing loan facilities and have generated additional financial capacity which will be used to fund the organisation's continued development plans to boost its affordable housing delivery to 250 homes a year.
Manchester based Banking and Finance partner Neil Waller led the firm's team on negotiating the private placement and facility agreements, with assistance from solicitor, Daniel O'Brien and paralegal, Fahwad Khan.
Trowers' Real Estate Finance Security Team also advised on all related property security aspects of the deal, carrying out due diligence on over 4000 properties. The team was led by property security partner Melanie Comer, with senior associate Nicola Almond and associate Lauren Mason-Smith assisting.
Partner Neil Waller commented, "We are very pleased to have played our part in achieving this fantastic result for Newport City Homes, demonstrating once again our commitment to support our Welsh housing clients on large scale refinancing projects".
Newport City Homes' Executive Director of Finance and Resources, Tim Jackson said:
"We are extremely pleased with the price, covenant structure and other terms in the package of refinancing deals, which will support Newport City Homes' drive to fulfil its potential, supporting and building sustainable communities in south east Wales. All our advisers were part of the team from the outset and provided us with excellent support and guidance throughout the whole process. This deal is testament to their commitment to achieve the right funding package for NCH."