Puma Property Finance provides a £50m loan – its largest loan to date – to Scape Living for a transformational co-living development in East London. The development forms part of the latest phase of the £3bn+ regeneration of the Blackhorse Lane quarter in Walthamstow, E17. Once built, the project will have delivered over 2,500 new homes across Build to Rent, co-living, purpose-built student accommodation (PBSA) and build-to-sell, as well as substantial new community provision including a flexible performing arts events space and extensive resident amenities.
The scheme is being developed by a joint venture between Scape Living, one of the UK’s largest providers of ‘Living’ units, and Dutch pension giant APG. Following planning consent in December 2022, construction of the new co-living development is expected to start in April 2023.
The development is located directly opposite Blackhorse Lane station. The scheme will deliver 273 residential living units, new commercial co-working areas, and a flexible performing arts events space.
“We are delighted to partner with Puma Property Finance for the first time. The Puma team have been a pleasure to work with throughout the process and have demonstrated a commercial approach, great flexibility in a tight timeline, and a deep knowledge of the co-living sector. We very much look forward to working with them again in the fast-growing Living space.”Adam Brockley, Founder & Global CDO, Scape Living
The loan facility represents Puma’s third substantial loan into the London market in the last 9 months, following the funding of a £65m residential scheme in Stonebridge Park and a £52m new sustainable office development in Parsons Green. Scape and APG have also made substantial investments in the London residential and commercial markets in recent months – seen as a clear vote of confidence for the ongoing appeal of the capital.
“We are delighted to be partnering with Scape Living and APG to turn this exciting development into a reality. The transformation of the Blackhorse Lane area is not only helping to address the acute housing shortage in London but is creating a diverse and sustainable community.
“This is the largest loan that Puma Property Finance has provided to date, and it is telling that the funding will be used for a substantial co-living development, a sector in which we believe strongly and that looks set for significant growth in the coming years as it attracts further institutional capital support. More and more people are discovering the benefits of the co-living model, which provides increased certainty of costs as well as providing a sense of community alongside state-of-the-art accommodation and amenities.
“We are excited by the vision of the Scape Living team and we look forward to partnering on other similar Living schemes across the UK in the near future. Puma Property Finance remains excited for the prospects of further lending going forward despite recent challenging market conditions.”Shane Ryan, Director, Puma Property Finance