The Nabarro Projects team has advised the winning consortium, led by infrastructure fund Equitix, on the £83 million bond financed Brunswick (Manchester) social housing PFI Project which achieved financial close on 20 December 2013.
The 25-year concession will establish 1,350 housing units, including 850 for social housing and 500 for private housing. Existing retail shops will be relocated and the Project also involves the construction of an extra care facility.
Under the deal, Assured Guaranty will guarantee a £73.5 million bond. The total project cost is £83 million, which includes £9.5 million in equity contributed by the three sponsors (Equitix, Galliford Try Investments Limited and Symphony Housing).
David Rose, Director at Equitix, said:
"The partnership with Manchester City Council began 6 years ago and we are extremely pleased to have reached this important milestone. The provision of mixed new and improved housing, open spaces, and community facilities will improve the lives of the local community. We look forward to working in partnership with the Council, our consortium partners and residents to deliver this much needed housing-led regeneration; and, as our trusted legal advisers, Nabarro were intrinsic in helping us get to this stage.”
The Nabarro team worked extremely hard over the life of the project, but particularly in the run up to financial close. The team consisted of partner Robin Baillie, senior associates Stefanie Atchinson and Anna Le Jehan and trainee, Juliana Martin. Support was also provided by Banking Partner Andrew McLean and Senior Associate Chinyelu Oranefo.
Commenting on the deal, Robin Baillie said:
"It is a great pleasure to have worked with Equitix and Assured Guaranty to get this scheme over the line so that the very important regeneration of the Brunswick Housing Estate can finally get under way. This transaction underlines the continued interest of institutional investors in the infrastructure arena and we hope our market-leading experience in this sector will leave us well-placed to act on other complex deals of this nature in the near future."
