Octopus Property to fund £15m Chalk Farm residential development
Octopus Property is pleased to announce it has provided a £15.1 million senior debt facility to Bellis Homes, one of the UK’s fastest growing luxury housebuilders, for the development of 19 one, two and three bed residential units and 11,000 sq ft of retail space, in Chalk Farm, North London.
Emma Burke, Head of Development Origination at Octopus Property, commented:
“We are delighted to be working with one of London’s most respected property companies, helping them to achieve the best possible return on their equity. This is one of the many examples of our ability to take a seemingly complex requirement and make quick decisions, completing this deal in just six weeks from agreed terms stage to acquisition, with the construction tranche drawing four weeks later.
“The development facility follows the launch of the company’s latest development finance product, which will allow us to meet the needs of a growing pool of potential clients who require attractively priced facilities on lower LTVs.”
The existing site comprises the former “Marine Ices” property, one of Camden’s most iconic businesses since it launched in 1931. The new development will seek to maintain the original façade to construct a five-storey building with basement and ground floor commercial space.
The development benefits from excellent transport links, directly adjacent to Chalk Farm station in Zone 2, just 15 minutes travel time from King’s Cross, and a short walk from both Kentish Town and Camden Road overground lines.
Alan Fordham Managing Director at Bellis Homes, added:
“We are delighted to be working with Octopus Property. Chalk Farm remains one of the most sought after locations in inner London and when this opportunity arose the term sheet offered by Octopus Property best met our needs. Completion was swift, mainly due to the fact that the experienced team at Octopus were able to stay with us every step of the way.”
This is the first facility agreed by Octopus following the launch of its new, lower priced development finance product, priced at just 0.54%pm for loans up to 60% Loan-to-Gross Development Value (“LTGDV”), as it continues to expand its residential development lending range.