Lincolnshire-headquartered housebuilder Larkfleet Homes has announced it has secured a £35m junior loan from Cheyne Capital Management to finance its expansion plans and grow its regional presence. The loan will enable Larkfleet to expand the company’s operations and invest in existing and new sites across Lincolnshire, Cambridgeshire, Northamptonshire, Rutland, Norfolk, Suffolk, and the South West. This funding will allow the business to utilise its land interests to become a more substantial player in these regions.
Karl Hick, CEO of Larkfleet Homes, said: “We are looking forward to working with Cheyne to expand the operation, and alongside HSBC as the senior lender, we consider we have a good lending team to deliver the management’s growth aspirations.”
Rob Turner of Cheyne Capital said: “We are very pleased to be backing an established operator with a good growth trajectory. Larkfleet had secured a number of attractive land opportunities but their existing senior debt facilities were proving a constraint on being able to take full advantage of the opportunities they possessed.”
Scott Macdonald of Cheyne Capital said: “This is the latest in a series of flexible financing solutions we have provided to residential developers, and for us this is a chance to work with a proven management team who are building high quality mid-market housing in areas of the country with strong underlying fundamentals.”
Larkfleet was advised by Birketts, Roythornes and Shoosmiths. Taylor Wessing and Deloitte advised Cheyne. Pinsent Masons were advisers for HSBC.