January 25th, 2020. Luke Egan
Deal of the Month January 2020: Regeneration and Residential Development
Residential development is a much-needed requirement for councils and estate lenders across the UK. Working out such deals can be difficult, but we at Pure Commercial Finance managed to complete a deal worth £28.3m with Octopus Real Estate, a leading specialist real estate lender and investor, to finance UK Regeneration’s 970-acre site in Biggleswade, Bedfordshire.
About The Deal
The deal needed funding for a site which comprised of two parts. The first part was a 270-acre site which benefitted from planning consent for 1,500 residential dwellings and an agreed Section 106.
The second part neighboured the first part, except this site was significantly larger at 700 acres. This site has been zoned by Central Bedfordshire Council for future residential development.
The funding required for the deal was in the form of refinancing at a total value of £28.3m for both sites.
Both sites are situated between Bedford and Cambridge, making them ripe for residential development. As such, UK Regeneration had been working on a residential concept since 2015, culminating in a complex site that will directly interweave with the sustainable growth of Biggleswade.
The first site will be funded on a phased basis while we will be working closely with Central Bedfordshire Council to ensure consent and delivery occurs on the second site.
Our Managing Director, Ben Lloyd, commented on the exciting new deal:
“Completing the refinancing of this strategic development site is an extremely important step in bringing forward the long-term delivery plan. We have worked closely with both UK Regeneration and Octopus Real Estate for many years and on many projects, so we were extremely pleased to bring such well-suited parties together on this complex project.”
Looking to Fund a Large-Scale Project?
If you require funding or assistance in large-scale residential projects and are worried about cash flow, don’t fret. Speak to our development finance brokers to get started.
Article By Luke Egan
January 25th, 2020
Luke heads up our specialist property finance team where his focus is to drive our transactions valued between £100k and £5m.
Luke and his team manage enquiries from initial enquiry through to redemption. Luke also sits on the internal credit committee with Ben and Tom.
Luke joined Pure back in 2014 following a successful role in the Barclays property finance team that lasted over 8 years.See more articles by Luke