Great Marlborough Estates has secured £76 mln (€90 mln) in debt funding to finance the redevelopment of Empire House, a vacant office block on London's Chiswick High Road, into high quality housing.
The three-year whole-loan facility was originated and arranged by Précis Capital and funded in partnership with global investment firm Carlyle and funds managed by global alternative asset manager Apollo Global Management.
The development will see a total of 137 homes delivered, with a range of apartment types and townhouses provided. Demolition works have already started on-site, with practical completion expected in the fourth quarter of 2023.
Great Marlborough Estates, a RIBA award-winning developer, acquired the consented one-acre site from Lendlease in August last year.
Under plans approved by London Borough of Hounslow, Empire House will be revamped and extended to create 66 high-quality apartments, comprising a mix of predominantly one- and two-bedroom homes.
At Essex Place, which sits behind Chiswick High Road, 46 apartments and four townhouses will be built, with a further 21 apartments developed at the corner of Essex Place and Acton Lane. At ground level, an additional 9,000 sq. ft. of retail and leisure space spread across two units will be created.
Grant Lipton, co-founder of Great Marlborough Estates, said: 'The funding secured today will allow us to transform what has been a long dormant office block into a vibrant new community and local landmark that Chiswick can be proud of. We remain confident in the long-term demand for London residential assets, with the UK capital remaining one of the world’s most desirable cities to live and work in, and we anticipate strong buyer interest in our Chiswick High Road development.'
David Jerrard, Chief Credit Officer of Précis Capital, said: 'We are particularly pleased to be financing this development in sub-urban London, a city which has often lacked adequate supply-side measures, and in a micro-location that continues to face a clear shortage of for-sale residential properties relative to demand.'
Great Marlborough Estates was advised by JLL, Macfarlanes, Forsters and Mutual Finance. Précis Capital was advised by Eversheds Sutherland, who also advised Carlyle and Apollo, as well as by Dalbergia and Savills.
