Investec Structured Property Finance has provided an acquisition loan for Warrior Property Group’s £13.5m purchase of Buspace Studios, a former bus depot being transformed into a modern serviced office business centre.
It will be providing flexible space with approximately 51 units. The facility will help finance the site acquisition of the asset, situated in Ladbroke Grove, a growing hub for entrepreneurs and SMEs.
The loan was issued to Warrior Property Group, a specialist London property developer & investor, within approximately a month from exchange, demonstrating Investec’s ability to provide financing solutions quickly.
Ian Burdett of Investec, said: “Warrior Capital is a long-established client who recognises our track record of executing transactions subject to tight deadlines as well as our understanding of the underlying real estate.
“By securing credit approval at an early stage we were able to provide completion certainty to the client. We are confident that our offering will continue to attract property developers and investors looking to enter the flexible workspace market.”
The asset offers Warrior Property Group with both short-term and long-term asset management opportunities in the form of actively managing the existing site and various tenancies, as well as wider long term development potential as seen with a number of commercial schemes in the area.
Changes in work trends as well as a growing number of SMEs looking to adapt their workforce have driven the demand for flexible workspace solutions.
This structural trend coupled with shorter lease contracts and quicker lease turnarounds has increased appetite by developers and investors with flexible workspaces; an asset class expected to grow by 30% annually for the next five years according to research published by JLL.