Housebuilder gets £50m funding to build its future on

HOUSEBUILDER Strata Homes has secured a £50m funding package from Lloyds Bank Commercial Banking.

Doncaster-based Strata said that the funding will allow it to build 750 homes a year. It currently has 16 live sites across Yorkshire and the East Midlands and directly employs around 120 people.

The company, which reported a turnover of almost £100m in its latest financial results said it has a current forward development value of in excess of £500m.

Lloyds Bank Commercial Banking’s mid-markets team in Yorkshire and the bank’s London housebuilding team have provided a revolving credit facility, including a £5m overdraft.

Julian Davis, financial director at Strata, said: “Lloyds Bank has worked closely with us to understand our ambitions and has provided a funding package tailored to our requirements. Having this flexible funding in place will enable us to deliver our land acquisition strategy and meet our growth targets with confidence.

“We look forward to working with the bank over the coming years and utilising its expertise to deliver new homes for families across Yorkshire and the Midlands.”

David Hunt, relationship director at Lloyds Bank Commercial Banking, said: “The housing shortage in the UK, coupled with renewed confidence in the property market and the introduction of Help to Buy ISAs, has meant that demand for quality housing, like those Strata provides, has soared.

“Housebuilders have an important role to play in support the UK’s economic recovery, both in developing essential housing stock and providing employment to people across the country.

“The banking facility we have put in place will afford the business the headroom and flexibility to activate the next stage of its growth strategy, and we are looking forward to seeing the company add to its already impressive portfolio.”