The new funding on the fully consented scheme — which has a GDV of around £210m — will enable the borrower to submit an improved planning application.
The enhanced development of the four-acre freehold former industrial site will maintain the currently consented 300 residential units, of which 90 will be affordable, while providing around 35,000 sq ft of additional space.
“Despite the significant growth of the business in recent years, working with repeat borrowers and introducers continues to be an important part of our philosophy,” said Dominic Gibson, fund manager at Octopus Property (pictured above).
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“Since being introduced to the borrower by JLL two years ago, we have been impressed with both their business plan and their ability to deliver it.
“The new facility will provide much-needed flexibility and allow them to enhance an already strong scheme, one which appeals to us due to the mix of affordable housing, private housing and commercial space.”
The facility — funded by Octopus Property’s commercial real estate debt fund II — is one of the lender’s largest ever single loans, and maintains the momentum that saw Octopus lend a record £800m in 2018.
George Braithwaite, director at JLL Residential Capital Markets, added: “Having worked with the borrower since the outset of this project, we are pleased to have been able [to] secure this next phase of funding for them.
“We’ve worked with Octopus Property for several years and never doubted that they would deliver upon their promises once we had agreed terms.
“Completing a circa £31.5m loan within 10 days speaks for itself and we very much look forward to completing future loans together.