Precede Capital Partners has completed a £188m five-year whole-loan facility to a joint venture (JV) between Apache Capital, Harrison Street and NFU Mutual to finance the development of a £302m GDV BTR scheme in Birmingham.
The loan forms part of the overall funding package for the Great Charles Street development, with equity being provided by Harrison Street, Apache Capital and NFU Mutual.
The scheme — which will be developed, managed and operated by Moda Living — will comprise 722 residential BTR apartments spread across three blocks, ranging from one- to three-bedroom apartments with exclusive views over the Jewellery Quarter.
Amenities will include a 24-hour concierge, cinema, residents’ lounges, co-working spaces and a gym, as well as over 20,000 sq ft of commercial space targeted at local and independent businesses.
The development will also include several sustainability features, such as air source heat pumps, solar photovoltaic panels, and the ability to source renewable energy for the site through the Renewable Energy Guarantees of Origin (REGO) scheme — all of which will contribute to the project's energy performance and low Scope 1 and 2 emissions profile.
Completion of the first block is scheduled for late 2025, with the final block scheduled for delivery in early 2026.
Great Charles Street is the sixth asset in the JV between Apache Capital, Harrison Street and NFU Mutual, which was formed in 2018 to fund BTR developments across the UK.
David Jerrard, chief credit officer at Precede Capital, said: “[This scheme] will directly address rising demand for BTR options in Birmingham, [which is] a market characterised by structural under-supply.”
John Dunkerley, chief executive officer at Apache Capital, added: “We are pleased to have secured a facility of this size in what are undoubtedly challenging market conditions.
“We have no doubt Great Charles Street will replicate the success of our first Birmingham BTR development, The Mercian.”
