LaSalle Residential Finance provides £50m development facility to Melford
This is the seventh loan made from the £440 million LRF vehicle, which was launched last year, and will provide financing for the re-development of the University Arms Hotel into a four-star hotel.
The hotel, which is the oldest in Cambridge and overlooks Parker’s Piece, has received planning consent for a comprehensive refurbishment and expansion from the existing 119 to 192 rooms.
Amy Aznar, head of debt investments and special situations, said:
“We’re delighted to be working with Melford on this exciting project which marks a milestone for LRF with its first hotel development loan. We continue to back high-quality sponsors and developments throughout the UK in student housing and hotels, as well as further residential projects within the M25. We also continue to focus on our wider lending activities providing mezzanine and whole loans in Western Europe.”