Lodha UK raises €290m finance for Lincoln Square in London
May 24, 2017 | By LODHA
Mumbai, May 24, 2017: Lodha UK, the London based development arm of India’s largest real estate developer, Lodha Developers, has raised USD 375 million (GBP 290 million) as construction funding for its Lincoln Square development in London, located adjacent to the London School of Economics (LSE) and close to Covent Garden. The facility, which is one of the largest ever loans from a single provider for a UK residential project, has been provided by Cain Hoy, the private investment company.
The development is currently under construction and is expected to be completed in the last quarter of 2018. The project has been one of the star performers of the London residential market with over 78 units worth almost USD 170 million (GBP 130 million) sold since its launch in May 2016. Construction is being carried out by Multiplex, the construction arm of global investment major, Brookfield.
The facility includes GBP 80 million to replace the existing debt, provided by Cain Hoy last autumn, and the balance will be used to complete the project over the next two years.
Ab Shome, Finance Director, Lodha UK said: “We are extremely pleased to have completed our first development funding in the UK which showcases the confidence of the market in the Lodha UK platform. We received competitive offers from three consortiums, and are thankful to all three providers for their interest. This is an exciting development and we are pleased to partner with Cain Hoy, whose ability to provide flexible solutions and perform within our timescale has been invaluable.
We look forward to building Central London’s most prestigious residential project at Lincoln Square.” Matteo Milan, Director of Cain Hoy, said: “Having already supported Lodha UK through an initial financing to enable the start of construction on site, we are pleased to continue our relationship with the Lodha team by providing this significant loan. Lincoln Square is an exceptional project where sales are performing well and this financing highlights our confidence in Lodha and the London market, as well as our ability to write large bilateral loans.”
Alex Carr, Residential Development Partner at Knight Frank, said: “The success at Lincoln Square is demonstrative of the work Lodha UK has done in bringing together a world class team, and creating a scheme that will redefine this special niche of London. The collaborative effort of the interior designers, architects and development managers has created an enviable scheme, with a superb luxury finish and world class amenities. “As a result, the development has been selling very well, continuing to perform despite today’s slightly tougher market dynamics. Buyers have become increasingly discerning and product led, yet are keen to buy into developments such as Lincoln Square, as they are seen as best in class and present real value.”
Lodha UK will unveil its flagship development No.1 Grosvenor Square this summer. Located in the heart of Mayfair, No. 1 Grosvenor Square will offer premium residences on one of London’s most prestigious addresses.
For more information on Lincoln Square visit: www.lincolnsquare.co.uk
For enquires related to Lodha UK, please contact Laura Leggetter or Ashleigh Donald at LUCHFORD APM
lodhagroup@luchfordapm.com | T: +44 (0)20 7631 1000
For enquiries related to Cain Hoy, please contact Henry Columbine or Emma Kane at Redleaf Communications
cainhoy@redleafpr.com | T: +44 (0)20 7382 4720
Notes to editors:
About LODHA UK and LODHA GROUP
Lodha UK is the UK development subsidiary of Lodha Group, India’s largest real estate developer. The company is based at 3 St James’s Square in Central London and comprises an in-house team of 30 development professionals with capabilities in planning, design, development, construction, procurement and sales & marketing.
Established in 1980, privately held Lodha Group is India’s leading real estate developer and amongst the world’s select multinational real estate developers with presence in India and the United Kingdom. The company is the largest in India by sales for four consecutive years, having clocked over INR 6,400 Cr of net news sales for FY 15-16. The company is currently developing around 4.1 crore sq. ft. of prime residential real estate globally with the largest land reserves in the Mumbai Metropolitan Region and has 31 ongoing projects across London, Mumbai Metropolitan Region, Pune and Hyderabad. In FY 2015-16, Lodha Group delivered 6,800 units across projects.
About Cain Hoy
§ Cain Hoy Enterprises is a private investment company financed with permanent capital that owns a diversified portfolio of real estate investments. § Cain Hoy has completed approximately $2.5bn of transactions since inception.
§ Cain Hoy won Financier of the Year at the Property Week Property Awards 2015, Residential Financier of the Year at the RESI Awards 2016 and Entrepreneur of the Year at the 2017 Property Awards.
§ Further information is available at www.cainhoyenterprises.com.