29 Oct 2018 17:21
Date of issue: 29 October 2018
LEI number: 213800WMV4WVES8TQH05
ST. MODWEN PROPERTIES PLC
("St. Modwen" or the "Company")
ST. MODWEN AGREES NEW £75M FACILITY WITH HOMES ENGLAND
Following the announcement in the Budget 2018 published today by HM Treasury, St. Modwen announces the signing of a new £75m loan, which is being provided by the Homes England Home Building Fund ("Homes England"). The loan has an initial maturity of seven years which can be extended to a maximum of ten years, subject to Homes England's consent.
The innovative loan sits alongside the £475m refinancing to the unsecured revolving credit facility ("RCF") the Company announced in December 2017 and will provide a further £75m of funding to accelerate the delivery of homes and serviced land across its portfolio.
The margin on the loan is in line with the margin on the RCF and increases the Company's debt maturity from 3.3 years to 3.7 years (or 5.3 years including potential extensions to banking facilities). St. Modwen was advised on the loan by Rothschild & Co.
Rob Hudson, Chief Financial Officer, St. Modwen, commented: "This financing further strengthens our resources whilst reinforcing a key relationship with Homes England, with whom our strategic objective to grow our residential and housebuilding business is strongly aligned."
ENQUIRIES:
St. Modwen Properties PLC Tel: 0121 222 9400
Mark Allan, Chief Executive www.stmodwen.co.uk
Rob Hudson, Chief Financial Officer
Kathryn Edwards, Interim Head of Corporate Communications
FTI Consulting Tel: 020 3727 1000
Dido Laurimore/ Tom Gough/ Ellie Sweeney stmodwen@fticonsulting.com
Notes to Editors
St. Modwen Properties PLC: St. Modwen is a different kind of property partner, taking a different view. Thirty years' experience as an expert developer and regeneration specialist, dealing with complex and challenging sites, has taught us to look at things differently, challenge the norm and create new and sustainable solutions to benefit all those involved. Today, we continue to unlock value and deliver quality outcomes across a wide range of activities, from regeneration to the long-term planning and development of commercial and residential assets, as well as active asset management.
We combine end-to-end expertise - through our network of regional offices, our residential business and our central asset management team, and through joint ventures with public sector and industry leading partners - to deliver lasting results for all concerned. We create places where communities grow, businesses flourish and people can feel and be at home.
St. Modwen's £1.5bn national portfolio of over 100 projects includes the regeneration of New Covent Garden Market, London; the transformation of Longbridge, Birmingham; and the on-going development of the £450 million Bay Campus for Swansea University. St. Modwen Homes is currently selling on 19 sites across the country and our asset management team pro-actively manages our £692 million income-producing portfolio.
Homes England: Homes England is the new housing delivery organisation that has been created to adopt a more commercial approach to respond to the long-term housing challenges facing this country. The new, expanded agency will play a far bigger role in investing in supply and intervening in the market to help deliver 300,000 homes a year by the middle of the next decade.
Homes England will act differently from its predecessor, bringing together money, land, expertise and planning and compulsory purchase powers to accelerate the supply of new homes and address affordability issues in areas of highest demand.