United Trust Bank (UTB) Real Estate Finance agreed two development facilities totalling £15.6m for an existing borrower to acquire, refinance and redevelop two redundant properties into high-quality supported accommodation for vulnerable adults.
Together, the facilities will create 92 en-suite supported living units across two schemes with a combined GDV of £26.5m, helping address a shortage of specialist accommodation across London.
The first £9.1m, 24-month facility supports the acquisition and conversion of a former convent comprising three buildings. With no change of planning consent required, the development risk is materially reduced whilst enabling the creation of 64 en-suite bedrooms with shared kitchens, communal facilities and facilities for 24-hour staffing.
The second £6.5m, 15-month facility refinances existing bridging finance and funds the conversion of a former care home into 28 en-suite supported living units. The scheme benefits from draft planning consent and will provide counselling rooms, communal breakout areas and shared facilities within the existing building footprint.
Both projects are underpinned by Agreements for Lease with an established operator managing around 400 supported living properties for Local Authorities across London. The agreements provide strong income visibility, underpinning the investment case and supporting a clearly defined exit strategy.
| Borrower | Entrepreneurial Developer |
| Amount | £15.6m |
| Loan Type | Acquisition and Development Facilities |
| Location | South-West London |
| Loan Purpose | Redevelopment of buildings to create 92 supported living units |
| Special Feature | Agreements to Lease in place with established supported living operator |