A £7.3m development loan will fund the acquisition and construction of 17 purpose-built apartments on a brownfield site in Lewisham, south-east London.
The loan has been provided by development finance lender Atelier and advised on by Mantra Group, the debt advisory arm of financial and real estate advisory group BTG. Structured at 67% loan-to-gross development value (LTGDV) over a 24-month term, the facility will cover the site acquisition and subsequent construction.
The scheme will comprise 15 three-bedroom apartments and two two-bedroom apartments.
The development is located in an area that attracts rental demand from commuters and professionals.
Atelier and Mantra Group worked together throughout the transaction to address its complexities. The deal is the second loan Atelier has completed in London in the past two weeks, following a £46.1m facility for an office-to-residential conversion in Hammersmith.
“We are pleased to back this scheme, which is being delivered by highly experienced developers,” said Tricia Martin, lending director at Atelier.
“The Mantra team were closely involved throughout, and we worked together to resolve unexpected challenges, including complexities in the final stages of the transaction. It was a real team effort to get the deal over the line.”
“This transaction presented challenges that were new even to a team with many years of experience,” said Nick Neophytou, managing director of Mantra Group, part of BTG.
“Atelier were first class throughout, bringing a commercial approach and sound judgement to help us work through the complexities. Their experience and professionalism made a real difference.”
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