The client’s development partner, Leconfield Property Group, is responsible for the refurbishment of the Belgravia property, which is set to be completed in 2023.
The finished project — expected to attract interest from both domestic and international buyers — will feature five en-suite bedrooms, staff accommodation, and additional facilities, including a swimming pool and garage parking for two cars.
This is Investec’s second deal with Fairway, having previously provided a £34.5m loan in October 2020 to fund its acquisition and redevelopment of nine prime central London luxury homes — Fairway Capital Property Fund’s first investment following an initial equity raise of £80m in July last year.
The existing relationship enabled the lender to meet the client's funding deadline and execute the complex transaction — which involved a JV partner with an ownership structure across multiple jurisdictions — in approximately three weeks from credit approval.
- You would be amazed by how many development proposals have inadequate or no contingency, claims QS
- Investec to provide £8m for Colchester PBSA development
- Investec to provide £13.3m package for Farringdon acquisition and redevelopment
Daniel Carlisle, real estate originator at Investec, said: “Despite an understandable dip, the prime central London market has again demonstrated its ongoing resilience, and we expect the recovery to gain pace as international travel resumes and government-imposed restrictions end.
“Alongside New York, London remains the pre-eminent global city for HNW individuals, and this outstanding property will undoubtedly attract interest from buyers looking for a slice of one of its most prestigious areas.
“We’re pleased to be supporting Fairway on another project in a market where we have a 25-year track record, having again demonstrated our expertise in executing complex transactions quickly and flexibly.”
George Brooksbank, at Fairway, added: “[This] will be a flagship asset within our portfolio with a GDV north of £30m.
“We had to move quickly and Investec once again proved to be a reliable and efficient debt provider who outperformed to meet the tight deadline.”