Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Keystone Completes Sixth Securitisation, Surpassing £2bn Issuance

Keystone Property Finance has completed its sixth securitisation, Hops Hill No.6, which includes £400 million of buy-to-let (BTL) mortgages. This latest transaction brings the total issuance under the Hops Hill programme to over £2 billion.

The Hops Hill No.6 securitisation is made up of £320 million in completed loans and £80 million in pipeline deals that will be added during the prefunded period. According to Keystone Property Finance, investor demand for the transaction was strong. The Class A AAA-rated notes were priced at SONIA plus 84 basis points, while the Class B and C notes were more than three times oversubscribed and priced at SONIA plus 100 and 130 basis points, respectively.

Lloyds and BNP Paribas acted as joint lead managers on behalf of UK Mortgages Corporate Funding DAC, with advice from TwentyFour Asset Management. Keystone served as the transaction's servicer.

In the past year, Keystone has entered the refurb to let and semi-commercial markets, invested in technology, and broadened its funding base.

This development is relevant to UK letting agents and inventory clerks as it reflects ongoing investor confidence in the buy-to-let sector and the continued availability of funding for landlords. The strong demand for securitised BTL mortgages may support further activity in the private rented sector.