More than 1,000 new social housing properties look set to be built in Fife by 2020 under a new funding deal agreed by Kingdom Housing Association.
The Glenrothes-based group delved into international money markets to secure a multi-million pound package to support its development plans.
The Courier understands the £85 million pot will be doubled to £170m with the addition of local authority and national government contributions.
It means an additional 1,1000 homes could be constructed throughout Fife.
Kingdom’s deal is believed to be the largest fundraising effort of its kind by a Scottish social landlord to underpin a major construction programme.
Nick Pollard, KHA’s director of corporate support services, said: “This is a significant milestone in the history of Kingdom.
“The investor appetite we have seen for the proposals that Kingdom took to market is a massive vote of confidence in Kingdom’s financial strength, its future financial and growth plans, the governance and management of the organisation and its staff.
“The most important point, however, is the confidence institutional investors have in the plans for delivery of new affordable homes across Fife and its surrounding areas and thereby the support given to tenants in need of housing but also those people supported by the wider activities of the Kingdom group of companies.”
Mr Pollard said he expected KHA to return to the money markets in future after securing strong investor interest for its offer.
KHA chief executive Bill Banks said the association now had the financial leeway to achieve its mid-term goals.
“The funding we have obtained through this deal is at rates which enable Kingdom to meet its strategic objectives of delivering new affordable homes,” Mr Banks said.
“Due to the rates that we obtained being better than our planning assumptions this provides further value to Kingdom.
“Taking account of the local authority and Scottish Government grant supporting these new homes, this leverages almost £170 million in to the Scottish and Fife economy. not just in construction but in many other areas which is very pleasing indeed.”
Kingdom has built more than 4,000 affordable homes — the majority of them for social housing — across the region.
The association employs around 380 staff and has offices in Glenrothes, Cowdenbeath and Dunfermline.
