Investec provides £1.2bn of senior finance

Investec Real Estate has committed £1.2bn of senior finance across 85 loans in the 12 months to 31st March 2022.

The £1.2bn comprises £524m of investment finance and £472m of development finance, with a slight weighting towards commercial real estate (55%).

The loans were agreed for various types of properties, including residential, BTR, mid-box logistics, PBSA, offices, mixed-use and retirement living schemes.

The lender closed £400m of residential for sale and BTR lending, which included a £170m investment loan for Greystar’s Sailmakers BTR scheme in Canary Wharf, London.

Investec Real Estate’s private client team also committed over £500m of financing across 60 loans — more than double the figure from the previous year.

Of the new loans, 30% were for new clients, while the remaining were offered to established clients on repeat business.

Most of the new lending was in London and the South East for residential development, as well as residential and commercial finance for investment clients.

The average loan size during the period was £14m, up from £8m in the previous year.

Mark Bladon, head of Investec Real Estate (pictured above), said: “Originating £1.2bn of committed finance across our three client segments of corporates, private clients and offshore is a phenomenal achievement. 

“Considering the backdrop — first with Covid and now the uncertain geo-political situation, as well as the increasing number of market entrants — this makes it even more impressive. 

“With a deep understanding of operational real estate built up over nearly 30 years, the support of the wider bank and a global client base, we continue to grow our market share without compromising on loan terms. 

“While we will exercise caution in the face of a higher inflation and interest rate environment, we expect structural undersupply in almost every sub sector and supportive demographic trends to drive increasing demand.”

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