What is the loan available for?
Homes England want to support small and medium-sized enterprises (SMEs) and innovative developers and housebuilders to build more homes more quickly and to create great communities.
They also want to encourage innovation, both in the kind of homes that are built and the way they are delivered. Examples of innovative projects you might need funding for could include:
- serviced plots for custom and self-builders
- off-site manufacturing
- new entrants to the market
- community-led housing projects
- groups of small firms working together to deliver larger sites
How the fund works
All the lending needs appropriate security and loans are typically secured against property assets.
The Levelling Up Homes Building Fund offers finance from £250,000. There will also consideration for smaller loans for innovative housing solutions.
- typical terms are up to 5 years
- interest is payable at transparent, commercial, pre-agreed variable rates
- sales income from the homes sold can be recycled to minimise the loan request
- will consider subordinated lending
- will discuss eligible costs with each applicant - these depend on the type of funding requested
Any eligibility criteria?
You may be eligible for finance if:
- your project is financially viable
- you are planning on building or refurbishing 5 or more homes on a site in England (refurbished units must be uninhabitable at the point when you apply)
- your project would stall, or progress much less quickly, without this finance
- you are a UK-registered corporate entity or limited liability partnership (LLP)
When Homes England make a finance offer, you will normally need to have a controlling interest in the land and a clear route to achieving planning consent.
They cannot fund projects where:
- there are new leasehold houses
- leasehold flats are charged more than a peppercorn (ie nominal) ground rent
How to apply?
To find out more information including how to apply click here.
Levelling Up Home Building Fund Homes England Windsor House 42 to 50 Victoria Street London SW1H 0TL
0300 1234 500 (option 3)