- OakNorth Bank has completed a transaction with Macc Care, the West Midlands care home operator with nine care homes across Birmingham and the West Midlands;
- The capital will be used to develop a new care home in Blythe Valley Park, a mixed-use business and leisure development on the edge of Solihull;
- The c.55,000 sq.ft. development will comprise of 80 bedrooms, a lounge and dining space, a cinema, hair salon, an activity room, and dozens of parking spaces;
- According to data from Knight Frank, care home occupancy in the West Midlands for the 2019/20 year has averaged 87%[1] despite ongoing challenges being presented by COVID-19.
OakNorth Bank – the UK bank powered by OakNorth – has completed a loan to Macc Care, the leading care home group based in Birmingham. This is the second Macc care home that OakNorth has funded following the successful completion and opening of ‘Willow Rose’ in Willenhall, Walsall.
Macc Care Group provides residential and nursing care for those over the age of 65 and has witnessed substantial growth in recent years, delivering five new care homes since 2016. Its Directors have over 16 years’ experience in the care home industry.
Macc Care’s Directors commented: “We’re grateful to the team at OakNorth Bank who have a clear understanding of this sector and were able to provide us with the financial support we need to get this development started. The Blythe valley care home site is advantageously situated at the heart of the new development, opposite the neighbourhood centre and adjacent to a 4.5-acre landscaped community amenity green space. We plan to develop a dementia focused facility which Solihull will be proud of.”
Stuart Blair, Debt Finance Director at OakNorth Bank, commented: “We’ve been extremely impressed by the growth and performance of Macc Care. The team has successfully developed several care homes of this size in the past and are running them profitably with average occupancy at mature sites of over 90%. The business is owned by two qualified doctors who have the experience and credentials to successfully fill new build homes and operate them well bearing in mind future challenges presented by COVID-19. OakNorth Bank has supported a number of care home businesses this year – it’s a sector with huge growth potential so we’re keen to do more in this space in the future.”
[1] Source: Knight Frank 2020 UK Care Homes Trading Performance Review
ENDS
About OakNorth Bank plc
OakNorth Bank provides fast, flexible and accessible debt finance (from £500k to £50m) to fast-growth businesses and established property developers / investors. It has debt finance teams in London, Manchester, Bristol, Birmingham, Leeds and East Anglia.
Since its launch, the bank has:
• Lent over £4.6bn, directly helping with the creation of 16,000 new homes and almost 20,000 new jobs in the UK;
• Raised deposits from c.160,000 savers;
• Supported over 750 businesses across the UK with the debt finance to pursue their growth ambitions
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit wordpress-test-website.oaknorth-it.com for more information.
Contact
Valentina Kristensen, Director – Growth & Communications: [email protected] / [email protected] / 0757 234 9009