Paragon Development Finance has committed more than £125 million of funding to care home schemes, supporting the delivery of over 550 beds across the UK since expanding into the sector last year, as demand for purpose-built care facilities continues to grow.

The milestone marks a significant step in Paragon Development Finance’s diversification strategy, which has seen the business expand into sectors including build-to-rent, later living, purpose-built student accommodation, light industrial and, recently, care homes.

The specialist proposition, designed and led by Senior Relationship Director Adrian Reeves, was established to support experienced developers and operators delivering high-quality care accommodation nationwide, helping meet growing demand from an ageing population and the need for modern care infrastructure.

Following the strong start in this sector, the bank has built a strong pipeline of future opportunities and in response to growing demand, Adrian Reeves, and Lilly Sargeant, Senior Portfolio Manager, are now working exclusively with developers in the care home market, providing specialist expertise throughout the funding process.

Adrian Reeves, Senior Relationship Director at Paragon Development Finance, added: “The response to our care home proposition has exceeded expectations. Developers and operators tell us they are looking for funding partners who understand the unique characteristics of the sector, from construction and planning considerations through to operational requirements and long-term value drivers.

“By dedicating specialist resource to the market, we’re able to provide the expertise, responsiveness and certainty that experienced care home developers require. We’ve built strong momentum in a relatively short period of time and have a substantial pipeline of opportunities that gives us confidence in the long-term prospects for the sector.”

Schemes Paragon is supporting include a 71-bed home in Birmingham, a 75-bed facility providing residential and nursing care in Chester, and an 84-bed home in Middleton, Greater Manchester.

To find out more about Paragon Bank’s Development Finance offering, visit: www.paragonbankinggroup.co.uk.