Venn Partners launches £265m private rented sector bond

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Dutch real estate investment firm Venn Partners has announced the launch of a £265m (€307.5m) provate rented sector (PRS) bond, issued through the UK Government’s Private Rented Sector Guarantee Scheme.

The launch is part of a broader initiative by Venn Partners, which traditionally operated private lending programmes in the Netherlands, to tap into the UK housing market by issuing a number of  bonds with varying maturities. PRS Finance Plc, a subsidiary of Venn Partners will regularly issue bonds with maturities of typically 10 to 30 years, targeting to fund a total of £3.5bn of the PRS product.

The current bond issue has a maturity of ten years, with HSBC and RBS acting as joint lead managers.Of the £265m programme, £175 have already been funded, largely due to commitments by institutional investors.

Richard Green, head of PRS Operations Ltd. and partner at Venn Partners, comments: “We are delighted to see such interest from institutional investors in the inaugural PRS Finance Plc’s Government-guaranteed bond. This new long-term funding source should help to further stimulate the private rented sector across the UK.”