Property development company Homes by Carlton has secured major investment from FW Capital to allow it to secure the issue of highways and water authority bonds for four housing projects.
FW Capital made the Tees Valley Catalyst Fund investment of £518,000 which enabled the Newton Aycliffe-based firm to fulfil work on 254 homes across the region and secure six jobs.
A total of 14 exclusive homes at Cathedral Gates, in Chilton, County Durham, are now completed and ready for sale.
In Tees Valley, the Middleton Waters development, in the picturesque village of Middleton St George, is in its first phase of building 198 homes.
A further 31 homes in Thorpe Paddocks, in Thorpe Thewles, and 11 at The Langtons, in Redmarshall, Tees Valley, are also in progress.
The award-winning housebuilder previously benefited from a £1m FW Capital North East Property Fund investment for the Cathedral Gates development in 2018, which has now been fully repaid.
Homes by Carlton is run by local brothers Norman and Craig Peterson, both of whom have been involved in the construction sector for many years, successfully delivering quality residential schemes across the North East.
This is reflected in the many awards they have won, including NHBC ‘Pride in the Job’ awards, NHBC Top 100 Seal of Excellence awards, NHBC Regional Award Winners and LABC Best Residential Project North. They were also multiple award winners within the small developer category of the Newcastle Chronicle and Journal 21st Century Living Awards, including being named as Best Builder & Best Luxury Home of the year in 2004.
Allison Routledge, Investment Executive, at FW Capital, said: “These loans, supporting their bond requirements, will facilitate the completion of four developments for Homes by Carlton, increasing their ability to expand and undertake further projects.
“As a long-term funding partner, we are committed to supporting Homes by Carlton. This will in turn help to create new homes, safeguard jobs and provide further employment opportunities in the region.”
Norman Peterson, Homes by Carlton Director, said: “At Homes by Carlton, we pride ourselves on building stunning homes of the highest quality. Our excellent relationship with FW Capital has played a key role in helping us to build these much-needed family homes at our sites in County Durham and Tees Valley. We are grateful to FW Capital for their continued support.”
Managed by FW Capital, the Tees Valley Catalyst Fund has invested £19m, helping businesses win £234 of contracts.
The pioneering fund is designed to help companies bid for work and is backed by the Government’s Regional Growth Fund. It advances loans for performance bonds, warranties and guarantees which provide assurance to a client that the supplier will deliver on time and to standard.
The fund offers short-term debt investments from £100,000 to £2 million to support businesses bidding for contracts.
FW Capital manages this £10 million fund for Tees Valley Combined Authority and Tees Valley Local Enterprise Partnership.
The North East Property Fund was established with the aim of supporting the development of small-scale property schemes and is backed by Santander and the North East Local Enterprise Partnership (LEP).
It offers loans from £250,000 up to £1m for residential and non-speculative commercial developments in Tyne and Wear, Northumberland and County Durham. The Fund can provide up to 100% of build costs for suitable schemes with repayment terms available up to two years.