The developer acquired the freehold office development site in north London for £12.6m and has planning permission for a high-quality new development arranged over six floors.
Asset manager Cheyne Capital has provided a £24m debt facility which will allow for the delivery of the scheme.
Nick Crawford, managing director at LBS Properties, said the development was an exciting opportunity to deliver an outstanding new office building for the area.
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“We are delighted to have simultaneously closed the development funding with Cheyne, who share our vision for the scheme – we expect to begin construction this year and complete the building in 2019.
“We are confident the high-quality design, extensive outside spaces and excellent sustainability credentials will make this an attractive option for a wide variety of tenants.”
Arron Taggart of Cheyne Capital felt that the development project had strong fundamentals.
“The quality of location, target market, specification and most importantly sponsor provides us with a great deal of comfort in funding this sort of development.
“We see these sorts of attributes – as well as our ability to provide a risk-adjusted, innovative approach – as important differentiators and key to navigating what could be a challenging market environment over the next couple of years.”
The development at 65-70 White Lion Street is a three-minute walk from both Upper Street and Angel underground station.
Peter Macallan, partner and head of structured development finance at Knight Frank Finance, who acted for LBS Properties, said it was delighted to have assisted in partnering LBS with Cheyne Capital.
“Ground up, speculative commercial projects have [had a] mixed appetite from a funding perspective currently.
“However, given the sponsor strength and track record, Cheyne [was] able to provide a very competitive and innovative financing package.”