Oaknorth provides £12.2m for two residential schemes

Monday, April 1, 2024 By Aaron Strutt

OakNorth has provided a further £12.2m loan to returning customer and SME housebuilder to part fund the acquisition and development of two of its latest major residential schemes.

Founded in October 2022 by former Avant Homes CEO, Mark Mitchell, honey builds original homes with a unique approach to design, space, and sustainability. Standard features in every honey home will include bi-fold doors, individually designed integrated kitchens, boutique-style bathrooms, and EV charging points. All units will also accommodate the Future Homes Standard, resulting in honey homes producing 75-80% fewer carbon emissions.

The business is also backed by leading private equity provider, Alchemy Partners, who specialise in investing in debt and equity special situations across Europe. Alchemy currently has AUM of over £2.2b and has invested in over 200 transactions since its launch in 1997.

The new housing schemes located in Huddersfield, West Yorkshire and Maltby, South Yorkshire, will provide a combined total of 252 new homes for the region. The Maltby site, consisting of 185 detached and semi-detached homes, will also include 46 affordable units and is situated close to Maltby’s town centre which is a short drive from the popular market town of Rotherham. honey’s new Huddersfield site will consist of 67 detached and semi-detached homes, including 13 affordable units and is situated in Fenay Bridge. The site is also within commuting distance from Huddersfield and Sheffield, as well as the larger commercial hubs of Leeds and Manchester via the M62 and M1.

Damien Hughes, Senior Director of Property Finance at OakNorth, added: “Despite only launching in October 2022, Honey has quickly built-up an impressive reputation for offering a unique way to build homes that successfully combines style, substance and sustainability for the benefit of all its customers. We continue to believe in the vital role that SME housebuilders play in benefitting local communities and economies, and are thrilled that we were able to provide honey with six individual bespoke debt facilities.”

Aaron Strutt of Trinity Specialist Finance, says: "There are lots of specialist finance lenders out there keen to issue larger commercial mortgages and development finance. This is through lenders like OakNorth and private banks like Coutts or Investec. All of them tend to prefer lending to companies or clients with a track record of trading and development experience."

Call Trinity Specialist Finance to secure funding for a development and get a full assessment of the specialist market on 020 7016 6151 or book a consultation 

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