FINANCE: M&G Real Estate has confirmed plans to provide £80m of development finance to Moorfield Real Estate Fund III’s Quartermile development.
The funding will facilitate the speculative development of the final two office blocks at the scheme.
Construction will begin on the seven-storey Quartermile 4 building in July 2014, and once finished it will comprise 130,600 sq ft of office space, including 12,490 sq ft of shops.
Completion of Quartermile 4 is scheduled for early 2016 with the development of the six-storey 72,991 sq ft Quartermile 3 office building to follow.
Quartermile managing director Paul Curran said the deal was the first speculative forward funding agreement in Edinburgh for several years.
“We are already seeing strong occupational interest and are working with our agents to secure lettings,” he added.
M&G development director John Fyfield said the decision to spec would ensure the buildings were “delivered into a market where there is little competition”.
M&G Real Estate was advised by JLL. Quartermile was represented by Edinburgh office of property agents Montagu Evans.
