Building for the future: supporting Arbora’s housing development drive

The pandemic hit the property industry hard. In April 2020 the Guardian reported that more than 400,000 homes had stalled thanks to lockdown, with Zoopla suggesting this amounted to an estimated £82bn worth of property transactions.

Colchester-based housing company Arbora Homes specialises in identifying suitable sites for housing developments and acquiring optimal planning consent. The company has made a name for itself for its high-quality, low-carbon affordable homes.     

However, back in March 2020, in the midst of multiple projects, Arbora Homes had to abruptly stop working. “The pandemic hit us for six,” says Paul Blyth, Director, “we were at maximum debt on one of our projects having completed the scheme, but we were unable to show people around the properties. As a result, we were unable to sell these homes.” Arbora had to extend its building programme and change its whole method of working to include lone working in the houses. “It was touch and go whether it was all viable,” Blyth says, “And would we actually be able to sell the houses?”

“It wasn’t just labour that became scarce,” says Blyth, “it was also materials that were hard to secure too. The sale of houses became more difficult. Getting searches done, contracts signed became very difficult.”

As a result of the delay to sales, Arbora Homes needed to agree an extension to the debt facility with Triple Point (TP). Triple Point's Property Lending team supports experienced property developers and housebuilders with bridging and residential loans from £1m to £5m. The experienced team, led by Andrew Stoneman, considers loans for new-builds, conversions or the refurbishment of residential development projects. So far, the six-strong team has financed c567 properties and is part of 94 live agreements.

Arbora has a current facility with TP of circa £8m but are looking to increase this by £15m to support upcoming residential development plans. 

The future is looking promising for Arbora, with a pipeline of 140 units and solid growth plans in the next two or three years in an industry that’s seeing fast recovery. “We couldn’t have done it without Triple Point,” says Blyth, “We’ve grown our team to supplement our development plans with TP’s support.”

And the property market is looking up, says Stoneman: “Property investment has returned at pace and the financing landscape has undergone significant change. Looking ahead, it is increasingly clear that non-bank lenders could be the key to funding the future of property.”

“My small team of 6 possess over 150 years of experience in the industry, and this enables us to properly consider lending opportunities with confidence and speed. Whether we support or reject an application, we aim to provide an initial response to the introducing broker and/or client within 24 hours” adds Andrew. 

Triple Point’s funding also allows Arbora to continue to lead the way in energy-efficient developments, says Blyth, “We are passionate about our industry and strongly believe that well-considered, appropriate and sustainable developments can add balance and enhance local towns, villages and communities while also tackling the current housing shortage.”

TP was the obvious choice to help Arbora’s growth, comments Blyth, “Quite early, Andrew understood our business model and the companies in the supply chain. We know we can rely on him and the team to make things happen.”

Triple Point's Property Lending team supports experienced property developers and housebuilders with bridging and residential loans from £1m to £5m. The experienced team considers loans for new builds, conversions for the refurbishment of residential development projects.

Find out more about Triple Point Property Lending.