Pluto Finance commits to help deliver new affordable housing with another housing association deal

By Bridging Loan Directory 28th January 2025

A development of 91 new low carbon affordable homes is set to go ahead after an east London housing association secured funding from specialist lender Pluto Finance.

The development in the borough of Barking & Dagenham will see a 2,400-square metre brownfield site redeveloped to 91 one, two and three-bed apartments, car parking and children’s play areas.

An integrated advanced energy infrastructure is also planned, including air source heat pumps and prefabricated building systems to minimise the carbon footprint impact.

The deal is the latest development loan tailored by Pluto specifically to fund housing in the social sector, where there is currently a serious shortage of affordable homes.

Mario Ioannides, Associate Partner at Pluto Finance, said:

“This is the second time we have worked with this housing association to fund a residential scheme that is providing much needed, high quality social housing.

They have demonstrated a strong track record in similar projects and Pluto Finance proudly continues to support the delivery and expansion of affordable homes nationwide.”

Last year the government announced wide-ranging plans to boost house building across England and Wales, with Secretary of State for Housing, Communities, and Local Government Angela Rayner throwing her weight behind a commitment to deliver the “biggest increase in social and affordable housebuilding”.

In a speech at the Social Housing Annual Conference in London she said:

“This government’s mission to drive more social housing is a personal mission of mine too.

I want to say loud and clear that no longer will social housing be seen as an afterthought, or worse actively discouraged.

Under this government, affordable housebuilding is the beating heart of our housing plans.

We have promised the biggest increase to social and affordable housing and, yes, that also includes council housing too.”

Pluto Finance is a specialist in the sector and is committed to financing developments which provide affordable housing to local communities with a minimal impact to the environment and use more sustainable energy strategies.

A spokesperson from the Housing Association said:

“Pluto Finance has again showed strong support in our vision to grow our affordable homes business in east London.

We find the team to be easy to work with and pragmatic in problem solving when challenges arise. We would strongly recommend Pluto Finance to any housing association looking to scale up the size of their asset portfolio.”

Pluto Finance provided funding for the 100% affordable scheme at competitive terms, with support from law firm Burges Salmon.