Gatehouse completes €27m financing of London residential scheme

Shariah-compliant lender Gatehouse Bank has provided £21 mln (€27 mln) development financing to London based developer Al Mubarakia.

The facility has been granted to a special purpose vehicle managed by Al Mubarakia and will fund the re-development of existing offices at Sovereign Court, Wapping, London into 124 rental studio apartments. The re-development is scheduled to take around nine months to complete.

'Demand for rental apartments in this part of London remains strong, and the location benefits from good transport links into the City and Canary Wharf. We worked closely with Al Mubarakia to complete this transaction in a timely manner,' said Trevor Homes, head of real estate finance at London-based Gatehouse.

A spokesman for Al Mubarakia, added: 'Sovereign Court is just the first phase of our larger plan, as we look to embark on a major redevelopment project of the area surrounding and including Tobacco Dock. Our vision is to create a sustainable, lively, mixed-use neighbourhood made up of leisure, residential, retail and commercial developments under the brand of ‘Tobacco Dock’.'

This is the second financing which Gatehouse has completed since the start of 2016.