Assetz Capital funds development of landmark Wolverhampton building
24 Birch Street Ltd has received in excess of £4.5m of funding from peer-to-peer lender Assetz Capital, to support the delivery of the second phase of £11m co-living residential development, TheStudios24.
The development occupies a landmark abandoned office building at Birch Street in Wolverhampton. Built in the 1960s, the 12-storey building was once the tallest tower in the city. Phase two of TheStudios24 will see the conversion of 72 rooms, following the completion of 93 rooms in phase one, a stage also underpinned by £2m Assetz Capital funding.
Upon completion, TheStudios24 will feature 218 en-suite studio apartments, with shared facilities including: kitchens; working and relaxation areas; a café and bar; gym; laundry and high-speed internet. Construction on the project began in May 2016, with completion expected in 2019.
The project has created around 40 new jobs in the local area, and the first three floors of the apartments have been fully let.
This deal follows a number of other development loans financed by Assetz Capital across the UK. The firm provided £10m of funding to 9 Property Group to develop a student accommodation complex in Nottingham, and £3m of funding to support the construction of eight luxury homes in Holywood, Northern Ireland.
David Penston, Director of Assetz Capital, said:
“We are delighted to have supported Barry Glantz and his team in completing the first phase of an innovative co-living scheme in Wolverhampton. The scheme brings back to life a landmark building and provides affordable accommodation for the local community, and after the proven success of the first phase, we have moved on to help fund the second phase.
“Assetz Capital supports experienced developers like Barry in bringing forward much needed housing all across the UK. To date we have provided over £675m in funding, helping to underpin the development of over 3,200 homes.”