close

Silbury Finance provides £40m loan for retirement village

Tunbridge Wells

Silbury Finance (Silbury) has provided a £40m sustainability linked development loan for a retirement village.

The £39.3m senior loan to the UK Retirement Living Fund (ReLF or the Fund), which is managed by Schroders Capital and advised by Octopus Real Estate, will fund the development of the site in Royal Tunbridge Wells, Kent.

Developed and operated by Elysian Residences, the retirement village will include 89 apartments, a mix of one, two and three bed, and hotel-style facilities, which include a restaurant, bar, library, gym, sauna, and treatment rooms with access to 24-hour care if required.

Story continues below
Advertisement

The scheme is the second project to be developed by the joint venture (JV) between ReLF and Elysian Residences (Elysian), the UK luxury retirement living specialists.

The JV will benefit from a discount on the facility’s exit fee if it achieves a BREEAM ‘Very Good’ rating.

The development, which is due to open in 2024 is the JV’s second scheme, as it targets a £200m Gross Development Value portfolio. Silbury also provided a £55m acquisition and development loan for the JV’s first scheme in Berkhamsted which is due to open to residents in Q4 2023.

Gavin Eustace, Founding Partner of Silbury Finance, said: “This transaction increases our exposure to both the high growth retirement living sector and a highly reputable sponsor, and keeps us firmly on track to meet our first-year lending target of £350 million. At the same time and reflecting that the built environment needs to address carbon emissions at the design and construction stage, not just operationally, the innovatively structured facility offers an incentive to the borrower on exit if it meets certain criteria.”

Tags : FinanceRetirement VillageSilbury Finance
mm

The author Lee Peart

Leave a Response