At a glance
GRE Capital provided a 24 month senior facility to refinance the incumbent Lloyds debt and fund targeted capital works at Old Street Works. The asset totals about 36,000 sq ft across three interlinked period buildings with ground and basement retail and offices above, located 150 metres north of Old Street roundabout in East London’s technology cluster.
The brief
A Jersey SPV for Riverside Capital required a refinancing solution and modest capex to reposition and lease remaining space after prior reconfiguration works. The aim was to enhance ERV, stabilise income and either refinance on investment terms or transfer to a new fund vehicle.
The GRE solution
GRE Capital provided a senior loan with partial interest service and partial roll up, secured by first legal charge, share charge and debenture. Covenants reflected a 66 percent LTV on an external valuation with sensible break even metrics and a minimum interest period to allow the business plan to be executed.
The outcome
The facility funded cosmetic upgrades and leasing initiatives to drive occupancy and rental tone, creating a clear path to investment refinance or orderly sale. Our understanding of the sub market and of Riverside Capital’s execution capability enabled us to lend with confidence.
