HSBC will provide up to £100m and the British Business Bank will support the transaction to tackle the undersupply of homes
- With up to £100m in funding coming from HSBC as a senior funder, the British Business Bank will support the transaction through its government-backed ENABLE Guarantee programme
- The Enable Guarantee programme is aiming to encourage lenders to increase their advances to smaller businesses, with the government taking on a portion of the risk on a portfolio of loans for a fee
- The development finance scheme specifically helps to support smaller property developers to plug the gap in the delivery of homes
What does this mean?
LendInvest CEO Rod Lockhart said: “Smaller property developers have a key role to play in making up this shortfall. The guarantee from the British Business Bank and the funding from HSBC, combined with our expertise in lending, is key to supporting these developers.”