Investec Real Estate has provided Galliard Homes with a €21m (£18m) senior facility to fund the development of a 109-unit residential scheme at Newacre House, in East Grinstead, West Sussex. The 27-month loan will enable Galliard to convert two of the five interconnecting, multi-storey office blocks that make up Newacre House, and which were originally constructed in the mid-1970s, into residential units, as well as refinancing existing debt on the site and help generate income on the remaining three office blocks. Due to completion from July 2022 onwards, the scheme will feature a mixture of fully furnished one-bedroom and studio apartments for sale, available through Help to Buy. A portion of the homes will include an additional study room, allowing residents to utilise the space as a ‘work from home' area, a dining room, games room or family snug. The remaining three office blocks provide circa. 65,000ft² of space and are occupied by a mix of tenants.
Ian Burdett, at Investec, commented: “Given the UK’s chronic housing shortage and the Covid-19 pandemic acting as a catalyst for a more flexible way of working, we can expect to see more projects like this that take older office buildings and transform them into high quality, contemporary homes. We have worked with Galliard on multiple transactions over the years and are pleased to support them on this latest venture. Once completed, Newacre House will be perfectly suited to first-time buyers or buy-to-let landlords looking for a comfortable and functional property that is well located with easy access to London and surrounding countryside.”
Jonathan Morgan, Director of Investment & Developments at Galliard, commented: “We are pleased to be continuing our longstanding relationship with Investec, the longevity of which is testament to the team’s ability to work quickly and flexibly to meet our financing requirements on a range of different projects. This latest loan will enable us to transform Newacre House into much needed high-quality housing.”
