Home REIT continues search for new lender as Scottish Widows ups loan repayment pressure

Total borrowings of £140.1m

Valeria Martinez
clock • 2 min read

Home REIT remains in search of an alternative lender to refinance its existing debt facility, as the beleaguered trust faces mounting pressure from Scottish Widows to settle its £140m loan balance.

In a shareholder update today (7 May), the former FTSE 250 trust said that it had been advised by the lender that "their objective is for repayment of the loan balance in the short term". This is despite the board and investment adviser AEW's efforts to "engage proactively and constructively" with the company and servicing interest payments in full as they fall, the trust said. Home REIT has been forced to sell more than a third of its portfolio at hefty discounts since August 2023 to repay its debts and improve cashflows. Since the sales began, a total of £79.9m of debt has been repa...

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