The Asset at a Glance
By the end of the year, it is estimated that over 2,000 people will live or work at Finzels Reach. The plans for phase two of Finzels Reach would increase that total to over 3,000 people, with an investment value of £400m in total.
- Investment Theme
- Urban Asset Creation
- Purchase Date
- November 2013
- Purchase Price
- £38m via a loan purchase (phase 1 only)
- Fund
- Palmer Real Estate Value LP
- Features
- Acquired distressed debt in a 5.5 acre Bristol city centre site enforcing ownership
Sold existing buildings comprising:
- 113,000 sq. ft. Grade A office (25% leased at purchase)
- 140 built private residential apartments (75 remaining for sale at purchase)
- 55 affordable apartments (100% built and sold)
- 168-bed hotel was pre-let to Premier Inn and then sold as a forward funding to AXA
- 38 new apartments were speculatively built and largely sold off-plan prior to completion
- 196 BTR apartments were constructed as part of a forward funding with Grainger Plc
- A new bridge connecting the site to the City Centre
- Speculatively built a new 95,531 sq. ft. Grade A office building and subsequently sold for £62.13m reflecting a 4.75% net initial yield
- Purchase Rationale
- Acquired debt during LPA receivership at deep discount to par
- Major city centre mixed use regeneration site
- Leverage day one equity to 7x GDV
- Location
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- Finzels Reach, E Tucker St, Bristol BS1 6EU
