Legal & General is investing €54m in long term financing with Clúid Housing, one of the country's largest approved housing bodies. 

The new funding will enable the delivery of around 200 social homes and it marks the biggest financing agreement secured by an Irish approved housing body.

Legal & General has over £1.5 billion invested in affordable housing to date in the UK. 

Today's funding is Legal & General's first investment in the Irish social housing sector and it said it brings much needed long-term pension fund capital to the housing sector.

Clúid already has a portfolio of over 8,000 homes across all counties in Ireland and it is aiming to deliver an additional 3,000 new social homes before the end of 2022.

The first homes financed through the Legal & General agreement are expected to be delivered in the first quarter of next year. 

Steve Bolton, Head of Corporate Debt Europe at Legal & General Investment Management Real Assets, said there is an urgent need to innovate in the affordable housing sector and provide good quality, stable homes for the thousands of households on the social housing waiting list in Ireland. 

Mr Bolton said that Covid has further highlighted the central role of the home in people's lives, demonstrating the need for more good quality, affordable homes.

"Our investment in Clúid matches our extended liabilities and delivers real economic growth and social value," he added.

Fiona Cormican, Clúid's New Business Director, said that Legal & General is an ideal partner for Clúid and brings extensive experience having provided financing to affordable housing providers in the UK for many years now. 

Ms Cormican said that Clúid not only want to meet the needs of its existing residents but also the needs of its future customers too. 

"This loan establishes a new template for funding social housing in Ireland. We anticipate that this innovative new financing model will encourage the development of future private financing agreements in the AHB sector. Today's announcement is a vote of confidence in Clúid, the Irish social housing sector and the Irish economy," she added.