The partnership is the first of its kind between GLA Land and Property and a private developer.
Mount Anvil will now accelerate construction of the next 2,000 homes in its pipeline and continue expansion of its land buying activity with a target of delivering 10,000 homes in London before the end of the decade.
Deputy Mayor for Housing, Tom Copley said: “In these uncertain times I am delighted to be able to confirm this new loan facility for Mount Anvil, one of London’s most dynamic property developers.
“It is vital that London emerges from the lockdown with a renewed focus on delivering the social and other genuinely affordable homes our city so desperately needs.
“Funding arrangements such as this will ensure that our private sector partners can accelerate their plans for the next decade and, crucially, increase delivery of much needed affordable homes.”
Marcus Bate, Investment Director for Mount Anvil said: “We’re by no means a conventional developer, which is why we’re thrilled to be working with GLA Land and Property on this innovative collaboration.
“This partnership extends beyond the scope of a traditional investment partnership, establishing an alignment of cultural values between Mount Anvil and GLA Land and Property, coupled with a shared vision for better quality affordable housing in London.
“The funding provides us with huge capacity to invest in the best available new development sites in London.
“We’re putting all our eggs in the London basket, and will be watching that basket very closely – supporting our exceptional people as they design, plan and build some of the best homes in the capital.
“We’re looking forward to playing our part in supporting London’s bounce back post-Covid 19, working in partnership with the GLA, Local Authorities and our Housing Association partners to deliver a positive legacy for London.”
The facility will be a commercial loan, drawn down in stages starting in June 2020 and repaid on a project by project basis following sales completions, with the loan to be fully repaid by 28 February 2030.
