Investec lends Floreat £29m
Investec Structured Property Finance will provide Floreat Real Estate, the independent and privately-owned investment group, with a £29.1m investment loan.
This is to reposition and enhance existing income at two multi-let office buildings in Bristol and Cardiff.
Prominently located in the city centre opposite Castle Park and adjacent to the Cabot Circus Shopping Centre, the 137,070 sq ft,18-storey Bristol property is let to 17 tenants, spanning sectors including serviced offices, insurance and telecommunications.
Floreat intends to let the vacant space and capture some of the reversionary potential at the property.
Jonathan Long, at Investec Structured Property Finance, said: “Floreat is an established and dynamic real estate business with whom we are pleased to be working with again so soon after our funding arrangement in Hayes.
“We continue to seek opportunities to broaden our loan book exposure and provide clients with access to financing across the real estate lifecycle. This type of facility, with a repeat client, fits well with this strategy.”
It represents the second transaction between the companies, following a £20m investment facility earlier this year.
The 86,985 sq ft landmark Cardiff building, which is c. 80% occupied, is centrally located, with excellent amenities and both of Cardiff’s main stations a short walk away.
Gavin Booth, investment director at Floreat, added: “We’re pleased to have worked with Investec once again to secure financing.
“The loan gives us the flexibility to deliver to our business plans and helps enhance the income profile of the assets for our clients.”