The funding will be used to support the development of the 7.5-acre, mixed-use New Waverley project in the heart of Edinburgh’s historic old town.
The scheme — which includes the provision for 66 new homes — will comprise one-, two- and three-bedroom apartments, mews houses and maisonettes built alongside retail and commercial space above 59 underground car parking spaces.
“New Waverley is such an exciting development to be a part of, not least because it is widely recognised as one of the UK’s most important city centre regeneration projects and highlights our growing ambition to support UK-wide developments with funding requirements up to £25m,” said John Carter, commercial director for commercial real estate at Aldermore (pictured above).
“We are delighted to be working with Queensberry on this flagship venture.”
Queensberry Properties was established through a partnership between Cruden Homes (East) Ltd and Buccleuch Property.
To date, the alliance has delivered over 120 prime properties across Scotland, with more than 200 properties in the pipeline.
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Steven Simpson, director at Queensberry Properties Ltd, added: “This is a hugely significant deal for us and allows us to look to our future business ambitions with confidence.
“We have recently delivered some of Edinburgh’s most successful prime residential developments, but our acquisition of what will be the first residential element to be developed within New Waverley takes us to an exciting, new level.
“Aldermore has been fantastic throughout the process, and [its] ability to recognise the value of the development, our need to have the funding in place quickly and the time [it] took to fully understand us and our vision for New Waverley has been invaluable.
“We’re excited about the partnership we’ve built with them.”
The funding from Aldermore reflects the increased market appetite for development finance loans, which has seen the bank grow its headcount by a third in 2018, including recent appointments located in Scotland and Leeds.
In December, Aldermore completed a £10.8m loan to support the development of a large-scale student accommodation scheme in Cardiff.