Radius secures sustainability funding from Danske Bank

Danske Bank and Radius Housing Association have agreed a new £75m Sustainability Linked Loan package that will support the development of new social and affordable homes across Northern Ireland in the next three years.

Radius Housing said the loan will be used to support investment in up to 500 new homes and to fund the retrofitting and refurbishment of 1,000 other homes to improve energy efficiency.

Radius Housing is a social enterprise which provides housing, care and support to over 33,000 homes throughout the island of Ireland.  It employs around 1,000 people and manages 14,000 properties in 80 towns across Northern Ireland, with a presence in all 11 council areas.

The deal is one of the largest sustainability linked loans ever agreed by a Northern Ireland Housing Association. Sustainability-linked lending links the debt costs of a business’s finance with its performance against pre-agreed sustainability objectives.

The funding is aligned with Radius' sustainability ambitions, and incorporates targets focused on reducing greenhouse gas emissions intensity and improving property energy performance certificates (EPCs).

Alan Thomson, Director of Finance at Radius Housing, said: “Radius Housing is committed to improving the sustainability of our business practices as part of our continual focus on improving the service we provide to our tenants. Agreeing this sustainability linked loan with Danske Bank is the next step on our journey and aligns with our strategy to ensure sustainability is embedded in all of our new and retrofitted homes, helping Radius become one of the most efficient and sustainable housing providers in the region.”

Claire McKeown, Corporate Relationship Manager at Danske Bank said: “We are delighted to provide this significant financial package to Radius Housing to support them in their mission to become one of the most sustainable and efficient housing providers in Northern Ireland. Thanks to close collaboration with Savills Financial Consultants and the legal teams in Shoosmiths, TLT, Anthony Collins and Wilson Nesbitt, we were able to facilitate a quick completion on the funding.”  

Dominic O’Neill, Senior Corporate Relationship Manager at Danske Bank added: “Danske Bank has been a lead provider of finance to the social housing sector in Northern Ireland for many years and we want to continue to help the sector to thrive and meet the needs of people across Northern Ireland.
The funding underscores our commitment to sustainable development and supporting communities across Northern Ireland.”

Picture caption: Pictured at Radius’s St John’s Close site in Belfast are Dominic O’Neill from Danske Bank, Alan Thomson from Radius Housing and Claire McKeown from Danske Bank.