Silbury Finance has provided specialist residential developer Kingsbridge Capital with a £24.7m senior loan to support the site acquisition and conversion of an existing office block in Bracknell, Berkshire, into 150 residential apartments.
The 20-month facility, at 88% loan to cost, will support the permitted development rights redevelopment of 100 The Ring, which will comprise a mix of studios and one-bedroom apartments for sale, with the first homes available in H2 next year.
Jamie Rahder, investment director at Oaktree Capital Management-backed development lender Silbury Finance, said: “With the delivery of new housing in the UK forecast to reach the lowest levels since the second world, supporting SME developers like Kingsbridge Capital, who have the expertise and vision to deliver schemes like 100 The Ring, is more critical than ever.
“This scheme should serve as a blueprint in using permitted development to transform obsolete office stock into much needed, well-connected high-quality homes, a far more sustainable method versus ground up development.”
Niten Handa, managing director of Kingsbridge Capital, added: “Occupying a highly desirable edge-of-town-centre site, we look forward to bringing forward our latest residential development, which will complement the town’s extensive retail and leisure offering. Against the volatile economic backdrop, Silbury’s funding expertise in the living sector, evident since the start of the relationship, has been especially invaluable.”
