Ocean Housing has borrowed £50m from M&G Investments to help fund its development activity in Cornwall.

The social and affordable housing business said the 40-year private placement would enable it to fulfill its ambition to provide more than 4,200 homes in Cornwall.

It said non-bank lenders such as M&G were providing an increasing amount of long-term finance as banks withdraw from the market.

Ocean group chief executive David Renwick said: “We are delighted to have secured this funding from M&G. It will allow us to continue to invest in improving Cornwall’s economy, creating jobs and training opportunities.”

M&G Investments’ head of social housing Mark Davie added: “Ocean plays a vital role in a region where there is both a severe shortage of housing and a growing population. M&G has now invested over £5bn in UK social housing through property transactions, public bonds and private placements and we’re keen to do more.”