Issue of Debt

Housing 21

Not for release, publication or distribution in whole or in part, directly or indirectly, in or into the United States of America

13 January 2022

Successful sale of £80m of 2049 bonds

Housing 21, the leading not-for-profit provider of retirement living and extra care properties for older people, announces that it has sold a further £80m of its existing 3.288 per cent. 2049 secured bonds, taking the total bonds sold to £450m (with a further £50m retained).

There was exceptional support for the bond issue from a broad range of existing and new investors with demand of around £270m, pricing at an all-in yield of 2.488 per cent. The proceeds of the issue significantly strengthen Housing 21's balance sheet, extending its liquidity horizon and average life of debt, and enable the business to continue with confidence delivering more new homes for older people across England.

Andy Howarth, Housing 21's chief financial officer, said:

"We are delighted with the very positive response from investors to this fundraising, which further reduces our average cost of debt. The funds will play a key role in helping us deliver our strategy to provide more affordable homes to older people across England and continue investing in quality and customer service. We have recently started enhancing our engagement with the credit community and we look forward to further developing these key relationships in the years ahead."

Lloyds Bank Corporate Markets acted as sole bookrunner. Housing 21 was also supported on the transaction by Devonshires (legal advice) and Chatham Financial (financial advice). Bookrunner's legal advice was provided by Addleshaw Goddard LLP.

Housing 21 continues to hold £50m of the 2049 bonds, enabling fast and flexible access to further investment in the future should Housing 21 require it.

Housing 21 is a leading not-for-profit provider of Retirement Living and Extra Care properties for older people of modest means. It operates in nearly 200 local authority areas, managing nearly 22,000 Retirement and Extra Care Living properties and providing over 38,000 hours of social care each week. The business has a strong focus on quality and customer service, with its care services highly rated by both its residents and the Care and Quality Commission, and sector leading property energy efficiency with all its properties due to reach a minimum EPC C standard by 31 March 2022.

Investor enquiries:

Andy Howarth, Chief Financial Officer, andy.howarth@housing21.org.uk

Media enquiries:

communications@housing21.org.uk

This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United States or in any jurisdiction in which such offer or solicitation is unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "Securities Act") and are subject to U.S. tax law requirements. Except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act, the securities referred to herein may not be offered, sold or delivered in the United States or to, or for the account or benefit of, U.S. persons. There will be no public offer of the securities in the United States.