Ashurst has advised Assured Guaranty, as monoline wrapper, and Lloyds, as bond lead manager, on the long-awaited £83 million bond financed Brunswick social housing PFI project. The project sees an Equitix-led consortium contracting with Manchester City Council for the regeneration of the Brunswick estate which will, when complete, provide around 1,350 homes. Galliford Try and Mears are providing the construction and refurbishment works required by the project and Contour is providing housing management services on behalf of the Council. The contract term is 25 years.

Under this deal, Assured Guaranty will guarantee a £73.5 million bond.  The total project cost is £83 million, which includes £9.5 million in equity which will be contributed by the sponsors.

The Ashurst team was led by Philip Vernon, Patrick Boyle and Derwin Jenkinson.  Associates Lindsey Bouchara, George Fetherston-Dilke, George Stancliffe and John Broadhead assisted.

Commenting on the deal, Philip Vernon said:

"Ashurst is delighted to have advised Assured Guaranty on this transaction, which follows our recent work advising them on the Edinburgh University student accommodation bond financing. This transaction comes at the end of a year which has seen the resurgence of the project bond market, including three Assured Guaranty wrapped bond financings."