Aster Group has raised an additional £50m after tapping its 2043 bond – originally issued in 2013 – with a further £150m retained.

The developer and landlord will use the funding to support its development programme. It plans to build 11,800 homes over the next seven years.

The new tap was oversubscribed and secured at a spread of 1.4% over gilt and an all-in cost of 3.35%, fixed for 25 years. Aster’s A+ credit rating was affirmed by Standard & Poor’s last December.

Chris Benn, group finance director of Aster Group, said: “Our tap was oversubscribed and reflects the confidence investors have in our management and strategy as a leading developer and landlord.

“This funding will support our mixed funding strategy and our ongoing development plan which is building thousands of new high-quality homes across the south of England.

“Importantly, our programme comprises a mix of social and affordable rent, shared ownership and open market sale as part of our commitment to increasing choice in the market and tackling the UK’s housing crisis.”

Aster raised £250m in its 2013 bond.