United Trust Bank (UTB) has provided £10.4m of funding to specialist airspace developers Fruition Properties to complete two new airspace schemes in London.
The first is a development of nine new apartments over two storeys on top of a high-end print business in South-East London. Fruition Properties will market eight of the new high specification apartments, whilst a ninth apartment has been pre-sold to the freeholder as part of the development agreement.
The second development is a project to build six 3-bedroom penthouse apartments on top of three popular art deco buildings in North London, plus a new single storey villa on the ground. Each will be marketed for in excess of £1m and the freeholders and existing leaseholders of the buildings will benefit from Fruition Properties carrying out extensive upgrade and improvement works to the ageing buildings as part of the project. The two schemes have a combined GDV in excess of £15m.
Fruition Properties have a strong track record of successful airspace developments and have created over 300 new homes across Greater London. They have a well established relationship with UTB which has funded five of the company’s previous developments and is in talks to fund an eighth.
Mani Khiroya, Chief Executive Officer of Fruition Properties, commented: “We have worked with Jonathan Nail and Tim Moore at UTB for many years now on a number of typical new build developments, and are pleased to be partnering with them again on our pipeline of exciting new airspace developments. Demonstrating that they are open to embracing what are complex and innovative transactions, their support and flexibility has been invaluable to us in these uncertain economic times. They understand us, and more importantly our business. A sign of a true relationship lender.”
Jonathan Nail, Senior Director – Property Development, United Trust Bank, commented: “Airspace development requires a unique skillset on top of those required by a traditional housebuilder and Mani Khiroya and the team at Fruition Properties have shown time and again that they are experts in their field.
“I am delighted that UTB is continuing to support Fruition Properties with funding to create sixteen outstanding new homes. They are a pleasure to work with and it’s always interesting to see what their next ambitious project will be!”