GRE Finance has struck a pair of loans to back an office redevelopment in north-east London and a hotel in Burnham, Buckinghamshire.
The company has made a £5.1m senior stretch acquisition loan to Medina Capital Investments, which wants to redevelop a vacant 50,000 sq ft office building at 320 New North Road, N1, in Hainault and a wider three-acre site as a £50m residential scheme.
Medina aims to submit a planning application for 50 townhouses and a block of 40 affordable flats.
GRE Finance said the “extremely strong planning case” meant it could offer the loan at 95% LTPP.
The lender has also agreed a senior loan of £3.7m against Corus Hotels’ 82-room Burnham Beeches Hotel, which will refinance existing debt on the property and pay for refurbishment, bringing its GDV to £16m after stabilisation.
GRE Finance associate director Clare Grimes said: “We are seeing more and more appetite among investors and developers to reposition obsolete offices and to create additional value in operational assets, and expect to be having many such conversations on it at UKREiiF as we explore strategic opportunities to grow our loan book.”
Director Daniel Benton said: “While the market continues to be challenging, savvy investors recognise that now is the time to seize value-add opportunities.”
SPF acted as broker on both deals.
Send feedback to Tim Burke
Follow Estates Gazette
