bLEND will undertake measured growth by issuing multiple market size deals over time and may vary maturities to better suit both investors and borrowers. In the end, we are dedicated to ensuring much-needed affordable housing finance is delivered to suitable housing associations, while providing clear, transparent investment opportunities to prospective investors.
bLEND’s transaction portfolio, which details the nature of all issuances to date and the housing associations on-lent to, can be viewed in the table below:
|Association||Nominal bLEND loan||No of units Owned||Housing properties £k||Net debt £k||Operating surplus £k||Net interest payable £k||Social Housing Lettings Turnover £k||Total Turnover £k||Regulatory status||Year End|
|Cardiff Community Housing Association||£37m||2,920||176,098||53,729||5,152||-1,716||19,310||23,032||Standard||Mar-20|
|Hightown Housing Association||£50m||6,818||770,314||467,219||27,412||-11,667||63,820||85,536||G2/V1||Mar-20|
|Leeds Federated Housing Association||£20m||4,095||204,666||50,193||8,058||-2,590||19,745||27,568||G1/V1||Mar-20|
|Newport City Homes||£25m||9,659||147,413||55,635||5,640||-4,171||48,383||49,783||Standard||Mar-20|
|Platform Housing Group||£180m||45,510||2,471,698||1,076,232||107,442||-49,438||215,124||257,117||G1/V1||Mar-20|
|Rooftop Housing Group Limited||£50m||6,745||350,396||204,999||15,132||-9,480||35,781||43,056||G1/V1||Mar-20|
|Silva Homes Limited||£25m||6,620||411,341||137,954||12,155||-5,656||39,128||50,042||G1/V1||Mar-20|
|Wakefield & District Housing||£100m||31,632||776,702||430,380||31,720||-129,896*||138,719||158,491||G1/V1||Mar-20|
|Wales and West Housing Association||£110m||10,856||629,184||214,675||17,188||-8,782||64,177||67,212||Standard||Dec-19|
|Walsall Housing Group||£75m||20,740||490,644||320,136||37,584||-19,917||96,267||112,183||G1/V1||Mar-20|
*Wakefield and District Housing’s Net Interest Payable included £19m of interest payable and £111m of exceptional finance charge. Please see note 8 of Wakefield and District’s accounts for further details
Borrower compliance with the Asset Cover Test and Income Cover Test:
The following table summarises the Asset Cover Ratio and the Income Cover Ratio (each as defined below) derived from the security portfolio for each Borrower.
|Borrower||Loan facility nominal amount £k||Aggregate outstanding amount of drawn loan £k||Interest payable £k||Fixed charge security – value £k||Cash security £k||Asset cover ratio (Min 1x)||Net annual income £k||Income cover ratio (Min 1x)|
|Cardiff Community Housing Association||37,000||37,000||1,081||380||44,577||–||1.01||1,853||2.00|
|Hightown Housing Association||50,000||50,000||1,492||25,177||38,041||0||1.09||2,909||1.95|
|Leeds Federated Housing Association||20,000||20,000||692||–||–||20,011||1.00||–||1.00|
|Newport City Homes**||25,000||–||–||–||–||–||–||–||–|
|Rooftop Housing Group Limited**||50,000||30,000||877||–||–||30,002||1.00||–||1.00|
|Wakefield & District Housing||100,000||100,000||3,459||4,004||151,704||0||1.30||9,302||2.69|
|Wales & West Housing Association||110,000||110,000||3,698||4,630||131,146||0||1.03||6,792||1.84|
|Walsall Housing Group**||75,000||–||–||–||–||–||–||–||–|
** Cobalt Housing’s £25m loan will be drawn on a deferred basis on 13 April 2021, Walsall Housing Group’s £75m loan will be drawn on a deferred basis on 13 October 2021, Rooftop’s remaining £20m loan will be drawn on a deferred basis on 3 November 2021 and Newport City Homes’ £25m loan will be drawn on 16 December 2021.
(1) Asset Cover Ratio means the sum of:
(a) the Minimum Value of the Charged Properties; and
(b) the Cash Security, divided by the nominal amount of the Loan.
(2) Income Cover Ratio means the Net Annual Income of the Charged Properties divided by the annual interest payable on the Loan or, if there is a balance in the Cash Security Account, the amount of interest which would have been payable if the principal amount of the Loan was reduced by the amount of the Cash Security.
Minimum Value of EUV-SH Charged Properties – 110%
Minimum Value of MV-ST Charged Properties – 120%
For new Borrowers, or Borrowers taking additional funding, the funding is initially secured by the cash proceeds of the advance pending the charging of property security. Such cash is shown in the column entitled “Cash security £k”. Borrowers have up to 12 months to complete the charging of property security.