Aldermore provides £25m funding package to support care home expansion
Aldermore Bank has provided a £25m funding package to support the refinancing and expansion plans of one of the UK’s top 20 care home operators.
The facility refinanced the client’s existing borrowing and provided additional capital to support the development of a new care home, enabling the business to expand its portfolio at a time of growing demand for high-quality care provision.
The deal builds on a relationship between Aldermore and the customer spanning more than five years, over which the operator has grown its portfolio to more than 1,500 beds. It underlines Aldermore’s commitment to backing experienced healthcare businesses as they acquire, develop and improve the facilities needed to support the UK’s ageing population.
Aldermore’s healthcare proposition supports funding for:
- Owner-occupied investment and development opportunities
- Acquisitions, refinancing and expansion projects
- International investors seeking to enter the UK healthcare market
On flexible terms, including:
- Funding solutions of up to 70% LTV
- Interest-only and capital repayment options
For the right operators:
- High-quality residential and nursing care home operators with strong management teams, robust operating performance and a genuine commitment to excellent standards of care
Matthew Cross, relationship director, Commercial Real Estate at Aldermore, said: “Healthcare is a specialist sector, and every transaction needs to be considered in the context of the operator, the quality of the underlying business and its long-term plans. Through my experience in healthcare lending, I’ve seen first-hand how operational, regulatory and property-related factors can shape the success of a care home business.
“What stands out about Aldermore is our ability to take a practical, tailored approach, combining sector knowledge, direct access to decision-makers, and the flexibility to support a broad range of funding requirements. That includes working with experienced UK operators as well as suitable international investors seeking opportunities in the UK healthcare market.”
Azfar Rizvi, commercial eirector, Corporate and Commercial Lending at Aldermore, added: “This deal demonstrates both the strength of our healthcare proposition and our appetite to support established operators with clear, credible growth ambitions. It’s a strong example of how we work with longstanding customers to fund their next stage of growth.
“Demographic change and the need to modernise the UK’s care home estate are creating significant long-term demand for investment. We have a strong appetite to support further growth in the sector, working with the right counterparties to fund acquisitions, refinancing, development and expansion.”