Trowers & Hamlins

Sign up

Home » News » Press Releases » Trowers & Hamlins advises Affordable…

Trowers & Hamlins advises Affordable Housing Finance Plc on tightest priced housing bond in sector’s

Trowers & Hamlins advises Affordable Housing Finance Plc on tightest priced housing bond in sector's history

Trowers & Hamlins has advised Affordable Housing Finance Plc (AHF), a subsidiary company of The Housing Finance Corporation (THFC), on its recent government-guaranteed bond.  The £208 million, 28-year bond carries a ‘AAA’ rating from Standard and Poor's and is believed to be the tightest priced public bond transaction in the affordable housing sector’s 26-year history of accessing private finance.

The credit spread for the deal at 0.37 per cent over gilts is believed to be the tightest ever achieved for a Housing Association transaction.  The transaction was three times oversubscribed and included a number of new investors for the sector.  There are 13 borrowers in the initial bond, including one Scottish and two Welsh borrowers, and the underlying delivery of homes funded by this bond is national. 

Piers Williamson, Chief Executive of THFC, commented:  “An important part of our reputation for delivering on time, on budget, is our choice of advisor.  In delivering an innovative concept like AHF for Government, Trowers & Hamlins really came up trumps and we were able to deliver the lowest cost HA bond on time, on budget.”

The Trowers & Hamlins team that advised AHF included Jennie Gubbins, Ian Dobinson, Naomi Roper and Sarah-Jane Harbour. 

Trowers & Hamlins led the housing association funding market in 2013, securing £1.31 billion worth of bonds and private placements on behalf of its Registered Provider clients – by far the highest of any legal advisers.  The firm is the top-ranked law firm for Social Housing Finance in both Chambers UK and The Legal 500, the independent legal directories.