Strawberry Star secured a £13.27m first charge loan with a £3.95m VAT loan on top, but as a single facility, with the specialist property lender completing the loan in 10 days.
The developer required the loan to assist with the purchase of the asset, a 6.9-acre freehold site previously occupied by the Vauxhall van plant.
The site (pictured above) now has planning for 685 residential units, a 209-key hotel, a medical wellness centre, retail and ancillary parking.
The land has been cleared, levelled, decontaminated and enabled with all services and highways access.
- Will the downward pressure on commercial rates continue?
- Octopus originates £83m of new lending in April
- Octopus provides £5m bridge-to-let loan
Repayment of the loan will be by development finance, with a potential reduction coming from investor equity.
Prasanna Kannan from digital brokerage Native Finance introduced the deal to Octopus.
“We were delighted to work with Octopus, they showcased a real understanding of the market, and worked to extremely quick timescales.”
Ludo Mackenzie, head of commercial property at Octopus Property, thanked Strawberry Star and Native Finance.
“We are pleased to be working with Strawberry Star, [which is] making serious in-roads into the UK market.”
Kekul Shah, operational director – capital at Strawberry Star, added: “The company has a vision of building homes in London commuter belts for various buyer categories, including first-time buyers.
“It was a pleasure working with Octopus Property and Native Finance.
“We are impressed with the speed and professionalism they displayed.”