Lloyds TSB Corporate Markets has provided a £10.85m finance facility to Blackpool-based B&M Retail to assist the company's acquisition of The Vault.
B&M Retail, which trades as B&M Bargains, bought the 618,000 sq ft industrial distribution warehouse in Speke, on Liverpool International Business Park, last October [as first revealed in Place 13.10.2009].
The funding package, which includes senior debt and interest hedging, was put together by John Williams, relationship director for the bank's North West corporate real estate team.
Formed in 1976 and acquired by brothers Simon and Bobby Arora in 2005, B&M Retail opened its first store in Blackpool, Lancashire, and now has over 180 stores across the UK employing over 5,000 staff.
Simon Arora, joint managing director at B&M Retail, said: "The Group has seen exceptional growth over the last few years despite the economic climate. As a result, we needed to ensure that we had a property that was capable of handling our increasing distribution and administration operation. Although this is our first property deal with Lloyds TSB Corporate Markets, we've known the bank for a number of years and built up a strong relationship over that period.
"When the opportunity came up to purchase this property, it was clear to us we needed a local bank to help us deliver this project, and Lloyds TSB was the perfect choice. John and his team have demonstrated they have the local knowledge, dedication and property expertise which we needed."
John Williams, at Lloyds TSB Corporate Markets, added: "B&M Retail Limited is a fantastic business, and we're delighted they have chosen us to help them deliver their new distribution premises. The Vault is a sure sign that commercial property deals, particularly in the industrial market, can be done in the current climate, with the right backing. Lloyds TSB Corporate Markets is again demonstrating that it is the bank that really understands and supports local businesses up and down the country."
In November last year, Liverpool Vision, the economic development agency for the city, said dependent upon the number of jobs ultimately created it would provide up to £1.75m in grant funding for the operation.