A first for Scotland

£45 million funding

Link Group Limited (“Link”) is one of Scotland’s leading housing, regeneration and support social enterprises, providing services to 10,000 families and individuals in 26 Scottish local authorities.

With plans in 2013/14 to invest over £26 million in new affordable homes alone, Link needed to make a strategic shift away from short-term bank debt. The result was a ‘first’ for a housing association in Scotland.

Formed in 1962, Link has grown to become one of Scotland’s leading providers of housing and related services. While remaining firmly focused on its core business – delivery and management of rented homes affordable to those on limited or fixed incomes - Link continually expands the scope and range of its services to meet the changing needs of the people who benefit from them.

This growing momentum needed a different lending approach. A private placement lending structure, a first for any housing association in Scotland, allowed Link to pay off short-term borrowing obtained at less than advantageous rates, as well as fuel future development plans.

Craig Sanderson, Chief Executive of Link, said, “M&G’s Social Housing team impressed us immensely with their knowledge of the Scottish housing sector and our regulator – they had clearly done their homework on us when we first met. From initial interview to offer took just over six weeks, which was astounding.”

Mark Davie, Head of Social Housing at M&G, said, “This was a first for Link and Scotland, but far from experimental for M&G. The array of lending structures available to us means that we have the right approach for every situation. We are delighted to have had the opportunity to create a transformational deal for Link.”