Shawbrook and Iron Bridge back multi-million-pound Portishead development

Property developer Prelon Developments has secured funding from Shawbrook Bank and Iron Bridge Finance for a multi-million-pound project in Portishead, near Bristol.

The scheme is set to deliver 93 one- and two-bedroom homes — including 29 affordable flats and two commercial units — on a vacant plot of brownfield land on the edge of the Portishead Business Centre.

According to the developer, the properties are expected to go on the market in 2022.

CGI of the Prelon Developments scheme in Portishead

The scheme is part of a regeneration project, aimed at revamping the former docklands site and surrounding areas.

Phase one of the regeneration was completed in 2016.

CGI of the Prelon Developments scheme in Portishead

Shawbrook is providing a senior development facility in excess of £10m for the second phase on a 33-month loan term, while Iron Bridge is contributing mezzanine finance towards the capital requirement for the development.

The case was introduced to the lenders by Bailey Associates.

CGI of the Prelon Developments scheme in Portishead

Derek Press, director at Prelon Developments, said: “This project will go a long way to satisfying the local demands for affordable housing in Portishead, which is once again a growing coastal town.

“Shawbrook and Iron Bridge provided us with a funding facility to assist with the latest redevelopment of the site. 

“Throughout the process, both lenders were extremely flexible, responsive, and knowledgeable, showing confidence in our plans, as well as recognising the need for new housing — particularly affordable homes — in the area.”

John Hughes, relationship manager at Shawbrook, commented: “The developer has a great track record in the local area, knows the particular site extremely well, and has already delivered phase one of the scheme in this location.”

Edward Alexson, associate director at Iron Bridge, added: “We are delighted to continue to support good quality local developers such as Prelon, and it was enjoyable to work alongside a like-minded lender in Shawbrook. 

“Iron Bridge is committed to providing new housing for local people in strong regional markets.”  

Leave a comment