The challenger bank along with Cogress and RS Property Finance provided funds to Paul Godfrey, who has extensive experience in delivering high-quality residential properties.
OakNorth completed a debt finance deal worth £19m to Paul, who also secured a further £6m of debt from RS Property Finance, while property investment company Cogress invested £7m of equity.
The finance will be used to acquire and develop a 60,000 sq ft site a 254 Kilburn High Road, which will be transformed into a six-floor building with over 10,300 sq ft of commercial space on the ground floor and 60 apartments spread over floors one to five.
The project has a gross development value of £45m and the one-, two- and three-bedroom apartments are expected to be popular with buyers given the impressive views the development will enjoy.
“It has been a great start to the year for OakNorth – we’ve closed 15 property deals with several more credit-approved and being transacted,” said Ben Barbanel, head of debt finance, and Damien Hughes, property finance director at OakNorth Bank.
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“We’re delighted to have worked with Paul, Cogress and RS Property Finance on this deal and look forward to additional collaborations in the future.”
Paul was previously a land manager at Barratt Homes where he purchased a number of high-profile development sites in north London before setting up his own company in 2012.
Since then, Paul’s portfolio has grown to almost £150m and he felt that this major funding arrangement reflected the rapid growth and ongoing expansion of his property development company.
“I am delighted to have the support of such substantial financial firms. All three partners – OakNorth, Cogress and RS Property Finance – worked seamlessly together, ensuring the project progressed as planned.”
Tal Orly, founder and chief executive officer of Cogress, added that it had invested in more than 40 projects in the UK with a gross development value of over £800m.
“We are always on the hunt for exciting new investment opportunities for our 30,000 registered investors.
“This project ticked all the boxes for us and Paul’s experience and track record have proved to be very attractive among our investors.”