Build to Rent operator Get Living secures a £365m development loan from controlled affiliates of Starwood Capital Group – to fund the redevelopment of the former Elephant & Castle Shopping Centre. The loan represents one of the UK’s largest development loans in the past year.
The loan facility with Starwood Capital, which is being funded by Starwood Property Trust (NYSE: STWD) and Starwood European Real Estate Debt Finance I Limited, has a five year term and enables the second phase of the wider transformation of Elephant & Castle town centre. Alongside the loan, construction partner Multiplex has also been appointed to deliver the Allies & Morrison-designed scheme. The project is expected to complete in early 2026.
Considered as one of London’s most significant redevelopment projects, the former shopping centre site will be transformed to deliver 485 Build to Rent homes – 313 at market rent and 172 affordable rent. The project will also deliver 135,000 sq ft of shops, restaurants and leisure space, 55,000 sq ft of workspace, and a new university campus for London College of Communication, University of the Arts London (UAL). There will also be a new tube station entrance and ticket hall and a high-quality public realm.
The third and final phase of the redevelopment project will start on UAL’s existing London College of Communication site – following their move into their new campus. This final stage will see an additional 498 new Build to Rent homes – 333 at market rent, 49 affordable rent and 116 social rent – as well as a cultural venue holding a capacity of 500 people.
“This marks a significant moment in the journey to deliver a thriving new town centre for Elephant & Castle and the local community. After extensive consultation and planning activity, construction will now start on the major redevelopment of Elephant & Castle town centre, incorporating much needed new homes, restaurants, shops, a university, workspace, leisure and cultural facilities, transport infrastructure and acres of new public realm.
“To secure this deal with a top tier lender like Starwood Capital is a fantastic endorsement for both Get Living and the transformation of Elephant & Castle. We look forward to building our relationship with Starwood Capital over the coming years as we deliver one of London’s most significant redevelopment projects.”Rick de Blaby, CEO, Get Living
The first phase of the project – Elephant Central – on Elephant Road completed in 2017. The Build to Rent scheme offers one, two and three bedroom homes. Residents have access to a shared club, outdoor space and events. Other benefits include secure key card entry, bike storage and the freedom to decorate homes. Elephant Central is owned and managed by Get Living.