3 days ago
- Business
- Pembrokeshire Herald
Pluto Finance backs 56 new homes in west Wales with £8.9m loan package
ESG-aligned funding will support low-carbon developments in Ceredigion and Pembrokeshire
PLUTO FINANCE has completed its first two residential development loans in Wales, totalling £8.9 million, from the Welsh Pension Partnership (WPP) investment sleeve. The funding will support the construction of 56 energy-efficient homes in Ceredigion and Pembrokeshire, delivered by Obsidian Homes.
The two schemes will provide a mix of open-market and affordable housing targeted at local people and key workers, including those in healthcare, education, and emergency services.
The first loan, for £4.35 million, supports Phase One of a 37-home scheme in Llanarth, Ceredigion, close to a popular holiday destination. The phase includes 16 open-market homes and five affordable properties, which will be sold at 70% of market value. A second phase—comprising 14 more open-market units and two affordable homes—will follow once sales progress.
The second loan, for £4.57 million, funds a new development in Kilgetty, Pembrokeshire. This project will deliver 15 open-market houses and four affordable apartments. The affordable units will be acquired directly by the local authority. Construction is already underway, with Pluto stepping in to complete the lending package within two weeks of credit approval.
Both councils have shown strong support for the developments, which prioritise affordability, sustainable construction, and homes for local families. Designed to high environmental standards, the homes feature timber-frame construction, photovoltaic panels, and low-carbon heating systems. All units are expected to achieve an EPC A rating, and developers estimate lifetime carbon savings of up to 92%.
Jonathan Scott, Lending Director at Pluto Finance, said: 'These developments are exactly the kind of projects Pluto is proud to support—high-quality, low-carbon homes that meet genuine local need. We're especially pleased to be working with Obsidian Homes, who share our values and commitment to sustainable placemaking. Our flexible approach and deep understanding of regional markets continue to support a growing pipeline of projects across Wales.'
Paul Rees of Obsidian Homes added: 'Pluto has been a reliable and pragmatic funding partner throughout the process, enabling us to move forward with these important West Wales schemes. We're already seeing strong demand, with two homes reserved ahead of formal marketing.'
The two loans form part of Pluto Finance's broader strategy to drive regeneration, boost local economies, and address housing imbalances in communities where second homes often outnumber primary residences.
