Triple Point Social Housing REIT PLC will receive a £70 million revolving credit facility from Lloyds Bank Plc.
The four-year facility holds an annual interest rate of 1.85% over a three-month London interbank offered rate, according to a release. The loan will mature Dec. 20, 2022, and can be extended by another two years.
Once it is fully drawn down, the facility will reflect a 40% loan-to-value ratio that is secured against the real estate investment trust's support housing portfolio.
The facility represents the REIT's second attempt to raise debt capital in 2018, with Triple Point aiming for a long-term aggregate borrowing level of 40% of its gross asset value.