The charitable housing provider the Hightown Praetorian & Churches Housing Association has raised £27m through the issue of a retail bond – nearly three times its initial target.
The HPCHA currently manages more than 4,400 homes and also provides housing and support to vulnerable people in Hertfordshire, Buckinghamshire and Bedfordshire.
The bond was issued through the Retail Charity Bonds platform on 31 March with a target of raising £10m for the charity. The offer period was due to close on 28 April – but after £27m was raised it was ended early on 17 April.
The organisation is an exempt charity registered as a community benefit society with the Financial Conduct Authority and as a social housing provider with the Homes and Communities Agency.
The HPCHA will use the funds to build new homes, although a spokesman for the organisation was unable to say how many it would be able to develop using the money.
David Bogle, chief executive of the charity, said: "We’re delighted the bond issue has been so successful. Affordable homes are in very high demand in our area, and it will help us fund the work we do in providing high-quality homes to homeless people and those who cannot afford to rent or buy at market rates."
The bonds, available for a minimum subscription of £500, will pay a fixed rate of interest of 4.4 per cent a year and are expected to mature in 2025.
The Retail Charity Bonds platform was created by Allia, a charity that specialises in developing social investment opportunities, in association with the financial services firm Canaccord Genuity.