Sager JV secures €256m finance for London regeneration scheme

Joint venture partners Cain Hoy and Sager have secured a £190 mln (€256.4 mln) loan facility to regenerate a 46,500 m2 site in London.

Lloyds Bank and Investec Structured Property Finance are providing the loan finance for the €400 mln mixed-use scheme in Upper Street, Islington.

The project is due to be completed in 2017 and will create 16,000 m2 of retail and leisure space along with 356 residential properties on the site of the former North London Sorting Centre, formerly owned by Royal Mail.

Investec SPF has also taken a minority equity stake in the Islington Square project.

Jonathan Goldstein, chief executive of Cain Hoy, said: ‘As we prepare to launch the residential element of the scheme, we are pleased to have secured this financing which recognises the rare nature and exceptional promise of this prime site at the heart of Islington.’