London, 19th March 2019
Fortwell Capital, principal lender to developers and investors within the UK real estate sector, has made its second major loan in two weeks, with the completion of a £31.1 million development finance facility to developer The High Street Group.
The loan will enable the construction of Westminster Works, a development of 220 residences for private sale in central Birmingham. Situated close to the proposed HS2 rail link on the edge of the Southern Gateway regeneration zone, Westminster Works will offer city living within a vibrant new neighbourhood, centred around a newly created public space. Planning permission is in place and completion of the eight-storey scheme is expected in Q2 2021.
This is the second major facility written by Fortwell Capital in the past two weeks, following the provision of a £55 million loan for the development of No. 1 Old Trafford, a 354-unit Manchester residential scheme.
Fortwell Capital has a large appetite for supporting developers and investors on larger, more-complex real estate financing opportunities since the £400 million capital injection it received from Cain International at the end of 2018. The firm’s 2019 origination strategy continues to involve the pursuit of lending opportunities across a broad range of asset classes in strong regional centres.
Arthur Jennings, Managing Director at Fortwell Capital, said: “Birmingham is an established investment destination, and Westminster Works will capitalise on the growing demand for high-quality residential space in the city. The size and scope of the loan facility highlights both the capital we have available to deploy, and our appetite for regional development opportunities with good sponsors.”
Gary Forrest, Chairman of The High Street Group, said: “Located close to the proposed HS2 terminus, Westminster Works will be a unique and aspirational new development for Birmingham. Fortwell Capital’s proven expertise and development understanding was invaluable in underwriting this large and complex project, and will be of huge benefit in the final delivery of this landmark scheme.”