The University of Northampton’s Waterside Project has been granted a guarantee covering borrowing of up to £292m for the £330m scheme.
Under the plans, the university will relocate to a brand new, purpose-built campus at the town’s derelict Avon Nunn Mills site on the riverside. Full construction on the site is due to begin next year.
Up to £232m is being raised through the issuance of a public bond, with a further £60m to come from the Public Works Loan Board. The remainder of the funding will come from the university’s cash reserves and capital receipts from the sale of the existing campuses.
The university’s proposals received planning approval in February this year.
The government’s guarantees system has already been used on a number of other schemes, including the Mersey Gateway Bridge PPP which reached financial close in March this year.
For more information on the Northampton University plan, click here.