Harworth Group has signed a new £275 million revolving credit facility with its existing lending syndicate, replacing its previous £240 million facility and strengthening its capacity to invest in its development pipeline. The facility has an initial four-year term, extendable to up to five years subject to lender consent, and includes an uncommitted accordion that could increase total capacity to £325 million.

The facility carries an improved core margin of 200 basis points over SONIA, reducing Harworth’s funding costs compared with the prior agreement. It also extends the group’s debt maturity profile by approximately 2.5 years, with bank facilities now running to the end of 2029, lowering near-term refinancing risk.

The increased headroom compared with the previous facility, together with the accordion option, provides greater flexibility to fund Harworth’s industrial, logistics, and residential land projects across its approximately 15,000-acre portfolio. Target net loan-to-portfolio value is expected to remain below 20% at year-end and 25% through the year, reflecting a disciplined, balance-sheet-conscious approach to investment rather than a significant increase in gearing.

The facility is provided by Harworth’s existing relationship banks, NatWest Group, Santander, and HSBC, with the option to include additional lenders over time. The refinancing takes advantage of favourable market conditions and strong bank relationships to secure improved terms, extend debt duration, and enhance flexibility to invest in the development pipeline while optimising the balance sheet.

Harworth Group will be hosting its own pavilion at the UKREiiF event for the fifth consecutive year, showcasing its expertise in industrial, logistics, and residential land development. The pavilion will provide an opportunity for investors, partners, and industry stakeholders to engage directly with Harworth’s team, explore its development pipeline, and discuss opportunities across its approximately 15,000-acre portfolio. This continued presence at the event underscores Harworth’s commitment to fostering strong industry relationships and promoting its strategic growth initiatives.