Housing association B3Living has secured a £50 million sustainability-linked loan from Lloyds Bank to build hundreds of new, affordable properties.

Its sustainability-linked loan facility will be measured against three KPIs, which will see B3Living receive discounted funding relative to its performance as against agreed targets.

The first KPI relates to retrofitting existing stock to ensure the housing association is going above and beyond the current minimum regulations to bring all of its properties up to at least EPC C by 2028. T

B3Living supports around 12,000 people in 5,000 homes among communities in Broxbourne and the wider south east Hertfordshire area and is currently rated as 'Silver' via the SHIFT sustainability framework (which amalgamates 15 separate ESG KPIs into one overarching score). Its aim is to enhance its SHIFT score year-on-year with the ambition of achieving a stretching SHIFT “Gold” status in 2024, and continuing to target a further numerical uplift in following years.


Finally, B3Living aims to build at least 50 energy-efficient, affordable new build homes a year by 2028, of which 70% will be in Broxbourne to help tackle the ongoing shortage of affordable housing in the borough.

Alex Shelock, B3Living's executive director for finance, said: "In this current operating environment of high inflation and interest rates coupled with political and economic uncertainty, organisations like ours have a tough balancing act in terms of protecting financial resilience whilst delivering for our customers and communities.

"The transition towards net-zero carbon is a key strategic priority for B3Living, and this type of flexible and incentivised loan is an excellent avenue for us to stretch our ESG ambitions and deliver benefits for existing customers as well as those yet to be housed. It also strengthens a nearly decade-long partnership between Lloyds Bank and B3Living."