- Led by CEO, Adam Harvey, The Harkalm Group, specialises in the retail, convenience, roadside and education sectors;
- Completing over 150 transactions in the last five years, the group has successfully invested over £400m to date, including over £30m in the UK’s early years sector;
- The £2.1m loan from OakNorth will support the acquisition of eight nurseries located across the UK, including in Devon, Hampshire, Walsall and Birmingham;
- The UK’s childcare market is set to grow by 10.7% from 2023-27 and reach £10.8bn in size, driven by overall population growth and rising female employment rates.
OakNorth, the digital bank for entrepreneurs, by entrepreneurs has completed a £2.1m property investment facility to leading commercial property investor and developer, The Harkalm Group.
Led by CEO and Co-Founder Adam Harvey, The Harkalm Group is a leading commercial property investment and development company specialising in the high street, roadside, supermarket and education sectors. With a focus on adding significant value to both vacant and tenanted properties, The Harkalm Group is celebrating 20 years of success. To date, the company has successfully invested over £400 million, solidifying its position as one of the leading firms in the industry.
The £2.1m loan from OakNorth will be used to acquire eight ‘Good’ or ‘Outstanding’ Ofsted rated nurseries, located in Devon, Hampshire, Walsall and Birmingham. The sites, situated in popular residential areas, will be fully let to the award-winning nursery operator, Old Station Nursery Group. Established in 2002 by Sarah Steel when it opened its first site in Farringdon, the group now comprises of 78 exceptional nurseries across the UK, with each site offering its core promises of regular parent communication and partnership between nursery and home.
Adam Harvey, CEO and Co-Founder of The Harkalm Group, shared: “Harkalm has a proven track record in both sale-and-leaseback transactions and the day nursery sector, making this portfolio an ideal fit with our strategic vision. This transaction exemplified the seamless collaboration between our acquisitions team and our in-house professionals, allowing us to efficiently navigate a relatively complex deal. There are clear synergies between Harkalm’s approach to acquisitions and OakNorth’s entrepreneurial approach to lending. Their transparency, responsiveness, and deep understanding of the UK’s commercial real estate and early years markets were evident from our very first meeting. This expertise, combined with their commitment to a straightforward and efficient process, played a significant role in the successful completion of this transaction.”
Greg Manson, Director of Debt Finance at OakNorth, added: “This transaction represented an exciting opportunity to support a company that we’ve been hugely impressed with for several years now. Adam and the team have built an incredibly strong and entrepreneurial firm, that continues to add value in everything it does. The combination of an award-winning and experienced operator in Old Station Nursery Group, with the projected tailwinds for the UK’s childcare market, means this acquisition is set to be another success story for the group. We look forward to watching their growth story going forward and supporting them on future growth projects.”
ENDS
Notes to editors
About OakNorth
Launched in September 2015, OakNorth is the digital bank for entrepreneurs, by entrepreneurs, empowering the lower mid-market (businesses with £1m-£100m turnover) to support growth, prosperity, and innovation for the benefit of all.
Since its launch, the bank has:
- Lent over £12bn to these businesses, directly helping with the creation of 47,000 new jobs and 29,000 new homes across the UK;
- Provide deposit services to over c.315,000 savers.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit www.oaknorth.co.uk for more information.
Media contact
Tom Pavey-Smith, Associate Director, Growth & Communications – [email protected] / [email protected] / 0791 716 5588