£55m funding package will help housing association accelerate its plans for the Highlands and central belt
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A housing association will be able to build more much needed homes in the Highlands and elsewhere in Scotland thanks to a £55 million funding package from Royal Bank of Scotland.
The funding will allow Cairn HA to re-finance existing loans and enhance home interiors as well has progress prospective housing developments.
Based in Edinburgh but with offices in Inverness and Belshill in Lanarkshire, Cairn HA operates across 24 local authorities in Scotland with a significant presence in the central belt and Highland regions, and has more than 3500 homes in its portfolio.
More than half – £30 million – of the funding has been earmarked to upgrade 1200 kitchens and bathrooms, as well as improve the energy efficiency of 700 homes with renewable energy initiatives and new heating systems that will additionally reduce fuel poverty.
The remainder will be used to support the construction of more than 600 new homes across the Highlands and central belt, including at new developments currently under way in Aviemore and Thurso.
Derek Adam, director of finance and people services at Cairn HA, said: “We are incredibly proud to provide quality, safe and affordable homes throughout Scotland, helping to enhance communities and foster strong relationships with a variety of key stakeholders and partners.
“The funding we have received from Royal Bank of Scotland has helped accelerate our future growth plans as we press ahead with the development of significant new housing schemes across Scotland, creating much-needed affordable housing options. We’re now primed for a strong future with confidence that we can upgrade the homes of our tenants.”
Last year, NatWest Group, the Royal Bank of Scotland's parent group. announced that it will be investing £3 billion in social housing across the UK over the next three years, supporting the construction of 20,000 homes.
David Horne, housing finance director at Royal Bank of Scotland, said: “Working with Derek and his team has been incredibly rewarding and builds on what has been a long-term partnership between Cairn HA and the Royal Bank of Scotland. Their commitment to providing high-quality, accessible homes and creating thriving communities is evident and this will have a positive impact on the lives of the Association’s tenants.
“We enabled a flexible funding structure that utilised our long-dated loan offering, which will allow Cairn HA to progress with their ambitious business objectives over the next 10 years and beyond, helping them increase their tenant portfolio even further.”
