Quintain and US multinational investment bank J.P. Morgan have entered a €309m (£277m) deal to finance the construction of two new residential buildings at the latest Wembley Park development site, called North East Lands. The deal was finalised this week and marks Quintain’s largest ever development loan and demonstrates confidence in Quintain, the Wembley Park development, and the BTR market in London. Forming the first part of Wembley Park’s North East Lands neighbourhood, the residential buildings will deliver 769 out of the new 2,000 homes planned for the area, as well as local shops, cafés and restaurants overlooking the new 7-acre park. Both buildings are expected to be completed in early 2025, alongside the delivery of 7-acre Union Park – Wembley’s first new park in over 100 years – which will provide seven acres of new green space for the community, 3.5 of which are already complete.
NE02 and 03 will add 665 Build-to-Rent homes to Quintain Living’s portfolio of 3,624 homes already under management and marks the start of the next significant phase of development at Wembley Park. Demolition and enabling works on the site began in January 2022 and this week Quintain also signed a €253m (£227m) fixed price construction contract with John Sisk & Son to complete the build, turning what was surface car parks into thriving a new community.
James Saunders, CEO of Quintain, said: “This deal with J.P. Morgan is yet another sign of the financing market’s confidence in Quintain and our product in a time of economic uncertainty elsewhere in the market. We’re delivering another 769 homes at Wembley Park, along with Union Park at the right time and at the right cost. We look forward to our ongoing partnership with J.P. Morgan, as well as contractors John Sisk & Son, who we’ve worked with for 18 years at Wembley Park.”
Rahul Sule, Co-head of J.P. Morgan EMEA and APAC Real Estate Finance, said: “We are delighted to work with the Quintain team in helping them deliver two new residential buildings in Wembley Park. Quintain’s track-record in delivering and managing market leading BtR products in London was one of the key reasons driving our interest in this transaction. In addition to the 655 BtR apartments we are happy to help Quintain deliver a combination of shared ownership, affordable rent and discount market rent apartments. This transaction, against a backdrop of heightened market volatility and inflationary trends, highlights our commitment and capabilities in the European construction finance sector.”