Investec Real Estate has provided Galliard Homes with an £18m senior facility to fund the development of a 109-flat scheme at Newacre House in East Grinstead, West Sussex.
The 27-month loan will enable Galliard to convert two of the five interconnecting, multi-storey office blocks that make up the 1970s-built Newacre House into flats. It will also be used to refinance the existing debt on the site and help generate income on the remaining three office blocks.
Due to complete from July 2022, the scheme will feature a mix of one-bedroom and studio flats for sale, available through Help to Buy. The remaining three office blocks provide 65,000 sq ft of space and are occupied by multiple tenants.
Ian Burdett of Investec said: “Given the UK’s chronic housing shortage and the Covid-19 pandemic acting as a catalyst for a more flexible way of working, we can expect to see more projects like this that take older office buildings and transform them into high- quality, contemporary homes. Once completed, Newacre House will be perfectly suited to first-time buyers or buy-to-let landlords looking for a comfortable and functional property that is well located with easy access to London and surrounding countryside.”
This is Investec’s twelfth deal with Galliard, having previously provided finance for projects including its £750m mixed-use scheme in Shoreditch, The Stage.
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