Having broken through the psychological 2% credit margin barrier last summer, THFC have come close to breaking through the 1% barrier only 8 months later.  “institutional investors currently view quality housing association bonds as a stronger credit story than the majority of UK banks” said Piers Williamson, Chief Executive of THFC . . . read more here

The A+/A-1 corporate credit ratings on The Housing Finance Corporation Ltd. (THFC Ltd.) reflect THFC's long standing franchise in the social housing sector, strong ongoing government support for its borrowers, robust collateralisation of its loan book and satisfactory earnings prospects. . . read more here

For further coverage: http://www.standardandpoors.com/ratingsdirect

The Housing Finance Corporation (THFC) has signed the largest ever housing regeneration facility for £345m with the European Investment Bank this morning .  . . . read more here

THFC today announced that the European Investment Bank has agreed to provide a new tranche of £345m long term funding to be invested housing regeneration projects in the Regions of the UK.  . . . read more here

THFC once again proved the attractiveness of capital markets issues backed by Housing Associations by bringing a 2.5 times over-subscribed 30 year transaction to the market.  Including THFC, this brings to nearly £1.2Bn the amount of long term funding so far raised by Housing Associations in the public bond markets in the last 12 months alone . . . read more here

Originally commissioned to mark the 20th anniversary of private finance for Social Housing a research paper jointly written by housing experts Professor Christine Whitehead and Dr Peter Williams for the London School of Economics (and supported by HEIF4), provides an incisive and sometimes critical third party summary of over 20 years of funding in the sector.

Generally, the scale and scope of public investment is now very much back in the spotlight and is likely to form the backbone of political debate leading up to the next General Election.  At the same time (given the recent adjustment in credit margins) new investors may be looking at the Social Housing finance market for the first time.  It is therefore important to have a document which encapsulates the successful growth of one of the most successful public/private partnerships over a period spanning two political regimes.

THFC would like to thank Christine Whitehead and Peter Williams for permission to reproduce the article.  If you have any direct queries about the paper you are welcome to e-mail the authors at:LSELondon@lse.ac.uk. “

Read more here

Housing associations (HAs) in the UK are generally considered private entities in
that their ownership is not directly controlled by the state. However, some of these
HAs (those which are classified as registered social landlords; RSLs 1 ) are highly
regulated, benefit from recurring publicly supported cash flows (as about 66% of the revenue comes from housing benefit) and receive significant state grants, although it does not contribute to the UK’s public sector borrowing requirement . . . read more here

Given that housing associations in the United Kingdom operate in a counter-cyclical industry, one might expect they would be relatively safe from the effects of the global recession . . . read more here

For further coverage, readers should view: http://www.standardandpoors.com/ratingsdirect

The A+/A-1 corporate credit ratings on The Housing Finance Corporation Ltd. (THFC Ltd.) and subsidary undertakings (together; THFC) reflect THFC's franchise in the social housing sector, its adequate risk profile, satisfactory earnings prospects, and ongoing strong government support for the sector. . . read more here

On Dec. 23, 2008, Standard & Poor's Ratings Services affirmed its 'A+/A-1'
corporate credit ratings on The Housing Finance Corporation Ltd. and
subsidiary undertakings (together; THFC). The outlook remains stable. At the
same time, it affirmed its 'AA-' rated bonds issued by T.H.F.C. (Funding No.
1) PLC.. . . . read more here

The Housing Finance Corporation (THFC) has recently completed a £100million loan from the European Investment Bank. EIB funds will be on-lent by THFC to registered social landlords (Regulated Housing Associations) to undertake social housing improvement projects as part of well-defined urban regeneration schemes. . . . read more here

At a time of continuing uncertainty in financial markets THFC has tapped its THFC (Funding No 1) plc bond, raising the largest amount in a single transaction since the original bonds were issued in 2004 . . . read more here.

The ratings on U.K.-based not-for-profit lender The Housing Finance Corporation Ltd.--along with subsidiary undertakings (together, THFC)--reflect its strong capacity to meet its financial commitments. The ratings are further supported by THFC's prudent lending policy to regulated housing associations who benefit from strong government and regulatory support. . . read more here.

“At a time of near market melt-down this shows that the natural investors for these bonds: the pension and life funds, consider UK Housing Associations as safe, secure investments…part of the so called ‘flight to quality’. It’s a timely and important message for us to get across in these very uncertain times. We’re seeing some large bank and building society lenders turning aside credit applications this side of Christmas . . . read more here.

In December 2004 T.H.F.C. (Funding No. 1) Plc ('Funding 1') was established as an issuing vehicle for 5.125% bonds due 2035/37. At the time THFC stated its intention to issue additional debt securities via Funding 1 from time to time as sufficient underlying borrower demand is achieved. The proceeds of such debt securities were intended to be loaned to THFC in order for THFC to on-lend the same to its registered social landlord borrowers... . . . read more here.

Following its annual general meeting The Housing Finance Corporation (THFC) has announced the retirement of its Chairman for the last five years, David Creed, and the appointment of Roger Mountford as his successor. Roger joined THFC’s board in September 2006 as Chairman designate.. . . . read more here.

The Housing Finance Corporation has tapped its THFC (Funding No 1) 5.125 per cent 2035 stock to raise £37.9 million for Westcountry HA. The new issue got away on an all-in yield of 4.99 per cent. This is only five points higher than the pricing of its £32 million tap on Funding No 1 for three associations in December. . . . read more here.

The ratings on U.K.-based not-for-profit lender The Housing Finance Corporation Ltd.--together with Subsidiary Undertakings (together, THFC)--reflect its strong capacity to meet its financial commitments. The ratings are further supported by THFC's prudent lending policy to creditworthy counterparties in the social housing sector, strong overcollateralization, and good management . . . read more here.

THFC to launch £300 million commercial paper programme at LIBOR plus 5bps . . . read more here.

Just when bankers were drawing breath for a pause in the fierce competition for business, independent THFC has taken loan pricing to a different level altogether. It recently completed what is probably the most keenly priced 20 year facility ever seen by Housing Associations . . . read more here.

“At an effective interest rate of 4.85% for 29 year funding, this represents a combination of very low cost, efficient funding for two existing and one new borrower” said Piers Williamson, Chief Executive of THFC . . . read more here.

The U.K. government is keen to see a range of affordable housing solutions in the form of mixedtenure schemes that spreads asset ownership more widely, and is therefore encouraging housing associations to develop more affordable social housing, in part supported by government grant . . . read more here.

The Housing Finance Corporation (THFC) today announced the appointment of Roger Mountford as its chairman designate. He will join THFC’s board in September 2006 and it is planned that he will take over from the existing Chairman, David Creed, in June 2007 at the end of Dr Creed’s statutory fixed five-year term . . . read more here.

Having taken updated legal advice about arrangements for decision-making, the Housing Corporation has recently advised that it does not have an express power to delegate its statutory functions below Board level. . . . read more here.

pdated legal advice about arrangements for decision-making, the Housing Corporation has recently advised that it does not have an express power to delegate its statutory functions below Board level. . . . read more here.

The ratings on the U.K.-based not-for-profit lender The Housing Finance Corporation Ltd. (THFC) reflect THFC’s strong capacity to meet its financial commitments. The ratings are further supported by THFC’s prudent lending policy to creditworthy counterparties in the social housing sector, strong levels of overcollateralization, and good management. . . . read more here.

This year margins fell for those Housing Associations (“HAs”) undertaking a refinancing, and the same effect will be felt by many more HAs through 2006. Already the sector borrows on superior credit spreads to sovereign borrowers such as Portugal and Italy. Can lending spreads get even tighter in 2006 and if so how? . . . read more here.

Wandle HA’s first Annual Efficiency Statement in July 2005 reported substantial
efficiency gains from treasury management (the management of the organisation’s
investments and borrowings).

A review of borrowing terms and negotiation with existing funders achieved overall
improvements in each of the following areas: . . . read more here.

The Housing Finance Corporation (THFC) is a specialist, not-for-profit, aggregating financial intermediary providing funding to Registered Social Landlords. Since inception, the group has issued sterling debentures with a nominal value of almost £1billion. THFC debt is secured by loans to over 120 borrowers. THFC’s loans to RSLs are secured on property . . . read more here.

The Housing Finance Corporation (THFC) is a specialist, not-for-profit, aggregating financial intermediary providing funding to Registered Social Landlords. Since inception, the group has issued sterling debentures with a nominal value of almost £1billion. THFC debt is secured by loans to over 120 borrowers. THFC’s loans to RSLs are secured on property . . . read more here.

Following its successful return to market with its innovative bond from THFC (Funding) at the end of last year, THFC is reinforcing its funding alternatives for housing associations . . . read more here.

THFC has recently completed a new £20million 5 year revolving loan facility for Mercian HA . . . read more here.

The Housing Finance Corporation Limited (THFC) has today purchased £1million nominal amount of its 11.50% Debenture Stock due 2016 (ISIN no: GB0004398193).

THFC has now purchased, in aggregate, £35million nominal amount of this Stock, which is over 15% of the initial amount. All Stock so purchased has been, or will be cancelled. The amount of Stock remaining is £196.5million.

The renaissance of The Housing Finance Corporation as a key social housing funder is to be consolidated in coming months following its successful launch of a new 31-year bond, THFC (Funding No 1). . . read more here.

What makes the current THFC story so interesting is the combination of old and new. An old and well diversified credit story and structure sold in the new world of public ratings and relatively low long-term interest rates. Uniquely it combines the potential to refinance existing high coupon historic debt, for conventional RSLs with the ability to raise cost effective and asset-efficient new debt . . . read more here.

THFC have moved office as of today. Click here for the new contact details.

LONDON (Standard & Poor's) Dec. 8, 2004--Standard & Poor's Ratings Services said today it assigned its preliminary 'AA-' senior secured debt rating to the expected £66.3 million bonds due 2037, to be issued by the U.K.-based special-purpose vehicle T.H.F.C. (Funding No. 1) PLC. The proceeds of the bonds will be onlent to other borrowers . . . read more here.

On Dec. 8, 2004, Standard & Poor's Ratings Services affirmed its 'A+' long-term and 'A-1' short-term corporate credit ratings on the U.K.-based not-for-profit lender The Housing Finance Corporation Ltd. (THFC), following a review. The outlook is stable. The affirmation reflects THFC's strong capacity to meet its financial commitments. The ratings are further supported by THFC's prudent lending policy to creditworthy counterparties in the social housing sector, strong levels of overcollateralization, and good management . . . read more here.

LONDON (Standard & Poor's) Dec. 8, 2004--Standard & Poor's Ratings Services said today it assigned its preliminary 'AA-' senior secured debt rating to the expected £66.3 million bonds due 2037, to be issued by the U.K.-based special-purpose vehicle T.H.F.C. (Funding No. 1) PLC. The proceeds of the bonds will be onlent to other borrowers . . . read more here.

“THFC News” is distributed by e-mail to all of our borrowers on a quarterly basis. The newsletter gives a round-up of current activities at THFC, looks at sector hot topics, provides wider economic analysis and includes the occasional light-hearted article.

Click here to view all editions of THFC News issued to date.”

Full text of S&P Issuer Credit Rating for THFC: see attached PDF file.

THFC today announced its A+credit rating from Standard and Poor’s rating agency.

The Housing Finance Corporation Limited (THFC) is a specialist, not-for-profit, aggregating financial intermediary providing funding to Registered Social Landlords. Since inception the THFC group has issued sterling debentures with a nominal value of almost £1billion. With debt secured by loans to over 130 borrowers, this is by far the largest portfolio of RSL loans to achieve a public debt rating to date. . . read more here.

See attached PDF file reproduced here with Fitch Ratings' permission, click here.

Further to the announcement on 14 November (see below), the second of the borrowers, Sovereign Housing Association, with TradeRisks acting as adviser and agent, acquired £9.5million nominal of the THFC 11.5% 2016 maturity stock. By prior agreement with THFC, Sovereign then repaid its 11.5% bullet maturity loan and THFC purchased the stock. The stock will be cancelled.

Liquidity risk arises from cash not being available when contractually required. A classic example might be the overrun of the completion of a development project, resulting in some or all of the costs being incurred and probably paid, but the revenues from the project not coming on-stream. Another less frequent example might be an asset appearing to be liquid (and the organisation, assuming it to be so) but it not being so in reality. . . . read more here.

Further to the announcement on 14 November (see below), one of the borrowers referred to, Devon & Cornwall Housing Association (DCHA), acquired £10million nominal of the THFC 11.5% 2016 maturity stock, via its agent TradeRisks, by private negotiation with holders of asset swapped packages. By prior agreement with THFC, DCHA then repaid its 11.5% bullet maturity loan and THFC purchased the stock. The stock will be cancelled.

Over the years THFC has from time to time provided long term inflation index linked loans to housing associations sourced from the capital markets. We have long felt that an element of index linked finance plays an important part in a balanced loan portfolio because of the index linked nature of housing association rental incomes. When we have come to discuss our index linked loans, while most associations have recognised the natural hedge to low inflation that they provide, they have found some of the structural features of these loans unattractive. . . . read more here.

Good morning ladies and gentlemen

As the speaker between you and your lunch, we thought that a bit of added interest might be needed to keep stomachs from rumbling. You’ll have all received THFC Bingo Cards just now and the first to call full house from the words buried in my speech will win a prize.

I’m sorry to say the prize isn’t a bottle of House of Commons Scotch (I think he’s become renowned for drinking water anyway).

And it’s not another challenge fund from the life and soul of the Labour Party
Hopefully it’s a bit more enjoyable on Christmas Day, to go with your Turkey and Brussel Sprouts . . . read the full article here.

Securitisation is a funding and capital management technique that has grown in popularity exponentially in the UK and Europe over the last 15 years. Its primary use has been by businesses that are capital intensive, such as financial institutions. Receivables financing for companies which have a rapid turnover of relatively homogeneous receivables has also proved popular. Securitisation has also been widely applied in commercial real estate as well as ‘distressed’ refinancings. As a technique, it has converged with other topical funding methodologies, such as project financing and PFI.

This article is designed as an introduction to the market, demonstrates the application of securitisation techniques to the funding of UK Social Housing and lastly looks at criticisms and strengths of application of the technique in the sector. . . read the full article here.

The Housing Finance Corporation (THFC) is a specialist, not-for-profit, aggregating financial intermediary providing funding to Registered Social Landlords. Since inception, the group has issued sterling debentures with a nominal value of almost £1billion. THFC debt is secured by loans to over 130 borrowers. THFC’s loans to RSLs are secured on property.

THFC has been approached by two of its borrowers who wish to prepay loans which were funded by the issue of THFC 11.50% Debenture Stock. The borrowers propose to purchase Stock in the market at the prevailing market price. The borrowers will then prepay their loans with THFC and at the same time THFC will purchase the 11.50% Stock from the borrowers and cancel it.

Under the terms of the Trust Deed securing and constituting this Stock, THFC can only allow a borrower to prepay its loan at the Adjusted Redemption Price. THFC proposes to purchase the Stock from the borrowers at the same price, the Adjusted Redemption Price, which will be higher than the prevailing market price.

The borrowers who have approached THFC represent, in aggregate, less than 10% of the amount of the 11.50% Stock issued.

THFC will receive a fee to cover its costs and loss of future earnings associated with the loans.

THFC may be prepared to enter into similar transactions with other borrowers but will only purchase Stock at the Adjusted Redemption Price as part of an overall transaction which involves the prepayment of a loan at the same price.

The Housing Finance Corporation (THFC) is a specialist, not-for-profit, aggregating financial intermediary providing funding to Registered Social Landlords. Since inception, the group has issued sterling debentures with a nominal value of almost £1billion.

In its recently published Annual Report and Accounts, THFC announced its intention to seek a public credit rating. Discussions are underway with one of the leading rating agencies. This is the second phase of business development for THFC following the changes made to its Trust Deeds earlier this year and is a key element in THFC’s strategy to raise competitively priced funds in the Capital Markets.

Following the close of this £181m innovative bond financing for three LSVT’s (Maidenhead &District HA, North Hertfordshire Homes and Hermitage HA ), led by RBC Capital Markets, THFC Services is pleased to announce its role as Administrative Agent to the borrowers.

Piers Williamson, Chief Executive of THFC said “this role reinforces THFC’s niche expertise in providing financial monitoring, company secretarial and reporting services to a variety of innovative housing sector bond deals”. THFC now manages approaching £900m of third party social housing transactions under a variety of long term contracts, for both conventional RSLs and LSVTs.

Following the extraordinary general meetings in January 2003, the final formalities have now been completed to effect the changes to THFC Trust Deeds. THFC can now offer borrowers the ability to:

• Redesignate security charged to THFC to facilitate further borrowing from THFC, and
• Substitute HA officers’ certificates for auditors’ certificates

In addition the reference Gilt used to calculate optional prepayment of certain specific THFC bonds has been changed.

Several transactions are in the pipeline with borrowers taking advantage fo the ability to redesignate security.

The Housing Finance Corporation is pleased to announce that Dr Norman Perry, Chief Executive of the Housing Corporation, was appointed to its Board of Directors at the Annual General meeting of the company held today. Dr Perry has been appointed as the nominee of the Housing Corporation to replace Mr Peter Cooke who has served in that capacity from December 1997 until his retirement from the Board today.

At its meeting today the Board of THFC expressed its heartfelt thanks to Mr Cooke for his guidance through a difficult transition for the company.

Enquiries: -
David Creed 0207 282 1100
Piers Williamson 0207 282 1110

The terms under which THFC is able to borrow from the banking and capital markets are governed by the terms of a number of Trust Deeds.

In November 2002, THFC requested from its lenders a number of technical modifications to these Deeds, so that they could more closely reflect current market practice. THFC was keen to show its customers, the Housing Associations (‘HA’s’), that the capital markets could be flexible in the same way that HAs perceive borrowing in the banking markets to be.

The modifications cover:

• The substitution in some circumstances of HA officers’ certificates for the current practice of auditors’ certificates
• Redesignation of certain fixed charge security. The HA industry is becoming progressively more aware of the need for optimal efficiency in the pledging of security to lenders. THFC recognizes that its lending structures need to reflect this trend. To assist borrowers who in many cases have multiple facilities from THFC, it has sought to, under certain circumstances, permit the re-designation of particular security, already pledged, to support new borrowing.
• Modifying the reference Gilt used to calculate optional prepayment of certain specific THFC bonds.

In early January 2003, THFC held bondholders’ extraordinary general meetings in relation to these changes, covering seven different bonds. It achieved in all cases, over a 90% vote in favour of the changes. At the same time it achieved unanimous approvals from its bank lenders and private placement investors.

Chief Executive Piers Williamson said “these changes, although technical, show that it is possible for bond market vehicles to move with the times. In endorsing these changes, our investors indicated their firm support for THFC and their further interest in investing in the Housing Association sector in future”.

THFC is pleased to announce that with effect from 1 October 2002 Piers Williamson has been appointed Chief Executive of THFC and its subsidiary companies. Piers joined the company in June this year as Deputy Chief Executive.

As from the same date I will relinquish executive responsibility for THFC and continue my duties as non-executive Chairman of the Board.

Further details of the organisation structure of THFC and new appointments to the staff of THFC will be made on THFC’s website (www.thfcorp.com) shortly.

David Creed
Chairman

The Housing Finance Corporation is pleased to announce that Piers Williamson has been appointed as its Deputy Chief Executive reporting to David Creed, Executive Chairman of the Board of THFC.

He will be responsible for developing and implementing THFC's strategy for reinforcing its leading position as an issuer of asset backed securities funding housing associations.

Piers has 20 years experience of the financial markets having previously worked as Treasurer and then as Director of Corporate Finance for HFC Bank. Prior to this he was Assistant Group Treasurer at the Mortgage Funding Corporation which securitised over £1 billion of residential mortgage receivables.

The Housing Finance Corporation is a specialist aggregating financial intermediary providing funding to social housing projects. It has £2.1 billion of loans (including £0.6 billion of third party loans) under management and provides funds to 134 registered social landlords. It raises money in the UK bond markets and from banks and has issued many competitive and innovative instruments including index linked bonds, stepped bonds and zero coupon bonds.

David Creed 0207 282 1104

In accordance with THFC's governance rules concerning term limits on board and chairmanship appointments, George Dennis, the Chairman of THFC, and Stephen Wood, both founder members of THFC, will retire from the Boards of THFC and its subsidiaries, having served their periods of office, at the end of the current financial year, 31 March 2002.

David Creed, who was appointed Executive Deputy Chairman in January 2002, will succeed Mr Dennis as Chairman of THFC and will continue with primary executive responsibility for the organisation's activities. One of David's key objectives over the coming months is to develop and strengthen the executive team so that, in due course, he will be able to relinquish his executive responsibilities and continue his Chairman's responsibilities in a non-executive capacity.

In making this announcement, David Creed said "The tremendous contribution of George Dennis and Stephen Wood to the success of THFC since its foundation in 1987 cannot be overstated. Their guidance was a critical element, both in establishing THFC and in developing its position today as one of the pre-eminent providers of funds to the social housing sector. My personal thanks, and those of the other Board members, go to them both for their steadfast support and work for THFC and we all wish them a long and happy retirement."

THFC is also pleased to announce the appointment to the Boards of THFC and its subsidiaries of Ms Pam Alexander, who is a member of the Peabody Trust and was recently Chief Executive of English Heritage and previously a Deputy Chief Executive of the Housing Corporation, and Mr Sadru Visram, who is Chairman of ASRA (Greater London) Housing Association and was previously the Finance Director of London & Quadrant Housing Trust.

The Housing Finance Corporation is a specialist aggregating financial intermediary providing funding to social housing projects. It has £2.1 billion of loans (including £0.6 billion of third party loans) under management and provides funds to 134 registered social landlords. It raises money in the UK bond markets and from banks and has issued many competitive and innovative instruments including index linked bonds, stepped bonds and zero coupon bonds.

Dr David Creed (aged 59) has been a board member of THFC since 1992. He will be retiring in April as Chief Executive of The Association of Corporate Treasurers. Prior to joining the ACT he was Group Treasurer at Tate & Lyle PLC and serves as a non-executive director on the boards of Foreign & Colonial Emerging Markets Investment Trust plc and Education Capital Finance plc.

David Creed 020 7282 1100