Acorn Property Group secures £18.8m loan from UTB for hotel redevelopment

United Trust Bank (UTB) has provided a £18.8m facility to Acorn Property Group for the redevelopment of the former Treglos Hotel near Padstow, Cornwall, valued at £28.9m.

The funding — agreed at 65% LTGDV over a 25-month loan term — will be used to refinance the original acquisition loan that UTB completed in 2020, as well as cover the balance of funds required to build out the site and complete the sales.

Following the 100% off-plan sales success of the first phase, the second stage will deliver 20 new apartments, duplexes and penthouses, along with eight detached homes.

The houses are due for completion in summer next year, while the apartments will be finished in 2023.

Of the total units, 90% have already been reserved off-plan, including the largest one — a four-bedroom detached house priced at £1.75m.

This is the latest Acorn project UTB has funded, having completed loans for over 15 of its schemes over the past decade with a combined GDV of over £500m.

Jonathan Nail, director for property development at UTB, said: “Acorn Property Group is in a league of its own when it comes to creating highly desirable contemporary homes in the most sought-after locations. 

“It is a valued and trusted customer who always deliver the goods and it’s a joy to once again be working with the professional team in bringing this project to life. 

“The amount of interest shown in the development before a brick has even been laid shows just how good Acorn are at what they do.”

Melanie Omirou, group managing and funding director at Acorn Property Group, commented: “We have established a strong and successful relationship with UTB over the last 10 years and I’m delighted to once again be working with Jonathan and the UTB team in creating some beautiful homes on the Cornish coast. 

“UTB understands exactly what we’re trying to achieve at Acorn and provides the support we need to help us realise those goals. 

“Our track record of success with UTB is testament to the mutual respect and trust between us and I’m sure we will continue to create many more successful developments with UTB’s backing for several years to come.”

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