Investec has agreed to loan developer Chancerygate £11.26m over 24 months to fund the development of nine industrial units at the 252,000 sq ft Novus site in Knutsford.
The loan was provided by the bank’s structured property finance division.
Expected to complete in late 2020, the first phase of the Novus site totals 130,000 sq ft, with the flexible units, suitable for a range of occupiers, ranging from 4,000 sq ft to 30,000 sq ft.
Chancerygate has already disposed of more than half of the available units, having agreed the sale of four units totalling 24,000 sq ft, and a pre-let to car dealer Sytner Group for a 30,000 sq ft unit.
Novus sits within the Parkgate Industrial Estate in Knutsford, and provides a mix of industrial and office space across 16 acres.
Jonathan Long, originator within the Structured Property Finance team at Investec, said: “The industrial sector continues to thrive, thanks to strong demand from SMEs across various sectors including manufacturing, storage, retail, pharmaceuticals and of course logistics.
“This was an appealing opportunity to work alongside Chancerygate, an established and highly reputable industrial specialist, for the first time, on a project that benefits from an excellent location and impressive transport connectivity.
“Our experience in the industrial sector meant we were comfortable with the speculative element of this scheme at the point of funding, which enabled us to structure this transaction and kickstart construction.”
The units are available on a freehold and leashold basis. The agents are Gerald Eve and William Sillitoe.