Shawbrook has provided a £3.1m development finance facility to convert a former Bristol pub into a 33-bed purpose-built student accommodation (PBSA) scheme.
The 16-month facility is funding the redevelopment of The Old Tavern in Stapleton. Plans combine the conversion and extension of the Grade II listed property with a new two-storey building in the grounds.
The completed scheme will offer a mix of cluster and studio accommodation, with ensuite bedrooms, communal areas and amenity space. It is expected to have a gross development value (GDV) of about £4.6m.
The listed status of the property, along with planning and construction considerations, led the developer to seek a lender able to arrange development finance around the project's more complex requirements.
Broker Page Property Finance introduced the developer to Shawbrook, and both were already familiar with the bank's PBSA lending in Bristol. Shawbrook structured the facility to support delivery of the scheme, which is now nearing completion.
"The client needed a lender that understood the PBSA market and could get comfortable with the additional considerations that come with a listed building development," said Mike Page, director at Page Property Finance. "Understanding Shawbrook's track record supporting similar schemes in the region, we felt the team would be a good fit for the project.
"Greg and the Shawbrook team worked closely with us and our client to understand the requirements of the development and put the right funding structure in place. It's great to see the project now nearing completion and the client's plans coming to life."
"This is an exciting scheme from an experienced developer, bringing a historic Bristol property back into use while delivering much-needed new student accommodation," noted Greg Pescott, relationship director, development finance at Shawbrook.
"The combination of the listed building and new-build elements makes this a particularly interesting project. It's a strong addition to Bristol's student accommodation market, and we're pleased to have supported in delivering the developer's plans for the site."
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