Funding deal struck for Salford Quays apartments
Maslow Capital will provide £18.6m to fund the conversion of two office buildings into a 127-apartment build-to-rent scheme.
Maslow and broker Brotherton Real Estate declined to disclose the name of the borrower.
Place North West understands the recipient of the loan is neither HIG Capital nor High Street Group, the two companies previously involved in the Salford Quays project.
Developer High Street Group, now in administration, is believed to no longer be involved in the project, while the future involvement of HIG, the property’s owner, is unclear.
Tanya Wolfe, director at Brotherton Real Estate, said: “This transaction will deliver affordably priced accommodation to an undersupplied market. We look forward to watching the scheme progress and with the support of Maslow, we have no doubt that this project will be a success.”
Anchorage 3 and 4, which HIG bought in 2015, previously housed private healthcare firm Bupa, which has since relocated to its own building in Salford Quays.
The buildings were originally constructed in the early 1990s along with two further blocks, Anchorage 1 and 2, that are collectively known as Anchorage.
Anchorage 1 and 2 are still used as offices and were bought by Investcorp for £40m last year.
“Working habits have materially changed as a result of the pandemic,” said Sky Mapson, deal origination at Maslow Capital. “Office to residential conversions are a viable option for alleviating the housing crisis in a sustainable way, due to the level of embodied carbon that rests in the original structure that does not require demolition and re-development.”
The completion of this £18.6m loan facility marks the second deal Maslow has completed in the Salford Quays area during the last three months. The funder lent Legacie Developments £20m last year for the 196-apartment Merchant’s Wharf.
Have to say, British Post Modern is about the worst architectural style on the planet. I mean, while Post Modern itself can be painful in general, it can still have its moments. But this variation… well… basically a child’s interpretation of a house, expanded and scaled up is just about the worst thing my eyeball can process – at least in the brick & mortar world. It must be painful to work in it, but to live in it…
By Jo
I have to say I’ve never liked the look of these buildings. Always reminded me of something a child would make using wooden building blocks. It is good they aren’t being demolished however due to the environmental cost.
By Bernard Fender
Would have much rather just seen these buildings demolished and replaced with skyscrapers containing balconies, underground parking and commercial use on the ground floor for all to use. Maybe even a few roof top bars!
By MC