Housing associations L&Q and East Thames have confirmed their merger and the completion of a £2.6 billion refinancing package to help deliver 100,000 homes
The combined organisation owns and manages more than 90,000 homes across the UK worth £22 billion. It will implement a 10-year financial plan, which will allow for £15 billion gross capital expenditure in building new homes, a £250 million community investment fund and £5 million a year for a new training academy.
Earlier in the year social landlord Hyde Group was also involved in talks to join London & Quadrant Housing Trust (L&Q) and East Thames, but the housing association dropped out of the dealin August.
The new company is intending to create a 6,600-home specialist care and support subsidiary, which will have an annual turnover of £47 million. It said it would have a continued commitment of 50 per cent affordable housing through shared ownerships and rent.
The organisation said that development through London and the South East would accelerate, including in the Thames Gateway corridor, which it called a ‘long-term national priority for growth’.
It will also look to strengthen existing relationships and create new ones, largely in the South East, though it added that it was open to expanding into new regions where appropriate, such as with Trafford Housing Trust in the North West.
Under the merger L&Q chief executive David Montague will become the company’s group chief executive while Yvonne Arrowsmith will remain as East Thames chief executive.
Among the practices who have already worked for East Thames and L&Q include RCKa and Patel Taylor.