Pluto Finance completes £25m loan for Leicester BTR scheme

Pluto Finance announces its second loan completion with HGP for the development of a Build to Rent scheme in Leicester city.

Pluto Finance has recently announced its second loan completion of £25m with the HGP for the development of a Build to Rent scheme in Leicester city | BTR News
Pluto Finance has recently announced its second loan completion of £25m with the HGP for the development of a Build to Rent scheme in Leicester city.

Development finance provider Pluto Finance announces its second loan completion with the Housing Growth Partnership (HGP) for the development of a Build to Rent scheme in Leicester city. The £25m loan will support a transformative residential project in the East Midlands by real estate company Monk Estates. 

This project is a collaborative effort between four entities – Pluto Finance, HGP, Monk Estates and pre-eminent debt and equity advisory group MAF Finance Group. The loan will be significant in supporting the repurposing of an Edwardian factory and the construction of two interconnected new build apartment blocks. 

“We are excited to partner with HGP and MAF Finance Group on this Midlands Build to Rent scheme by Monk Estates. The repurposed factory, coupled with the new build apartment blocks, will create a distinctive living environment, contributing to the ongoing urban renewal in the area, and addressing the need for city centre living of this nature.”

Evan Griffin, Lending Director, Pluto Finance

The Pluto Finance team is thrilled to support this Leicester-based development, which is aligned with their commitment to supporting innovative and sustainable development projects in the Build to Rent sector. 

The former repurposed four-storey Edwardian hosiery factory will be transformed into a modern residential scheme, blending the heritage of the building with contemporary living.

“We are thrilled to be supporting our new and highly experienced partner Monk Estates to deliver HGP’s first Build to Rent scheme in the East Midlands region. Our £5.7m investment will enable Monk Estates to deliver much-needed rented accommodation in a prime location in Leicester City Centre. The Highcross development will significantly contribute to the regeneration that is already well underway in the area, further enhancing the attractiveness of the location to the target rental market.”

Mike Murphy, Investment Director, Housing Growth Partnership (HGP)

Adjacent to the factory, the two interconnected Build to Rent apartment blocks will seamlessly integrate with the existing structure and enhance the development’s architectural appeal. Once complete, the development, which has been undertaken by Monk Estates, will feature 171 residential units.

“We are very pleased to be working with Pluto Finance on this project. They have been very helpful and forthcoming which in the current evolving debt market is a breath of fresh air, we thank MAF Finance group for their help and look forward to doing more together in the future.”

Sam Monk, Director, Monk Estates

Additionally, a commercial unit let to Sainsbury’s Local will serve both residents and the surrounding community, which will further exacerbate the project’s vibrancy and economic impact. The development will offer modern residential amenities, green spaces, and a sense of community within a historical setting.

“Both Paul Delaney and I are delighted to have been involved in arranging the debt and introducing the client to HGP and Pluto, working with all parties, to structure this exciting deal. This is the second transaction we have assisted Robert and Sam Monk on in the Build to Rent sector and we look forward to seeing the Hylyfe Leicester scheme flourish as the development progresses.”

Dave Chapman, Managing Director (MD), MAF Finance Group

Earlier in the year, Pluto Finance completed another investment deal with Arc & Co. totalling £18m to a private residential developer for two Build to Rent schemes in the South East of England.