Investec Bank has provided UK real estate developer Kingsbridge with a £15.7m senior facility to fund the acquisition and speculative development of a logistics scheme in Horley, Surrey.
The 36-month facility will finance the development of a cleared four-acre freehold site with planning consent for two Grade A mid-box industrial units of circa 57,000 sq ft and 31,000 sq ft.
The units will feature photovoltaic panels to support on-site renewable energy generation, EV charging infrastructure with provision for future expansion and an energy efficient building design. Kingsbridge is targeting an EPC A+ and BREEAM Excellent rating for the scheme.
The site is located on Cross Oak Lane in Horley, approximately four miles from the M23 at Junction 9, six miles from the M25 and three miles from Gatwick Airport.
Stephen Martin, from Investec Real Estate, said: “This transaction represents an opportunity to support the delivery of a high quality, sustainable logistics scheme in an established and well-connected South East market. The scheme’s prime location within the Gatwick logistics market, together with its institutional-grade specification and strong sustainability credentials, positions it well to meet occupier requirements for modern, well-connected space.
“Our financing provides Kingsbridge with a flexible development facility to deliver the scheme on a speculative basis and enables us to support an experienced regional developer with a strong track record in the industrial and logistics sector across the South of England. We look forward to working closely with the team through the project.”
Paul Butler, CFO of Kingsbridge, added: “We are pleased to have secured this financing with Investec, which provides us with the flexibility to deliver a high quality logistics scheme in a well-established and strategically important South East market. At a time when there is a clear flight to quality across the logistics sector, we believe the scheme is well positioned to benefit from continued demand for Grade A space. We look forward to progressing the development and delivering two high quality units that provide occupiers with efficient, sustainable and well-connected logistics space.”
