- The Edyn Group was sold last year for approx. £430m making it the largest investment in the UK aparthotel sector to date;
- The new development will consist of 103 units, office space on the mezzanine level and a ground floor restaurant;
- The site is a short walk from Aldgate East Station and the new Crossrail station at Whitechapel, with proximity to numerous restaurants, bars and shops.
OakNorth Bank – the UK bank powered by OakNorth – has provided a bespoke £27m structured finance facility to Oaktree Capital Management, a leading global alternative investment management firm.
The site will be developed into a new 12-storey Locke aparthotel operated by Edyn Group, one of the UK’s leading extended stay owner-operators. The 103-unit aparthotel will be situated at Buckle Street – a short walk from Aldgate East Station and the new Crossrail station at Whitechapel – and will offer office space on the mezzanine level and a restaurant on the ground floor.
The transaction marks the second significant development that OakNorth Bank has funded in the area over the past six months.
Merzak Kaddour, Investment Director at Edyn Development Studio, said: “We are delighted to have partnered with OakNorth Bank for this transaction. Our decision to work with OakNorth was driven primarily by the strong relationship I have with the debt team and the depth of knowledge displayed by OakNorth’s team in structuring this facility. We look forward to a prolonged working relationship”.
Deepesh Thakrar, Senior Director of Debt Finance at OakNorth Bank, said: “We’re delighted to be working with the Edyn team and the strong backing of Oaktree Capital who are one of the world’s leading alternative investment managers, with real estate and infrastructure type assets making up 14% of its total $122bn under management. This was an exciting opportunity to work with a highly experienced team with one of the most notable track records in the industry. We look forward to working with them in the future as they continue to grow their UK portfolio.”
ENDS
Notes to editors
About OakNorth Holdings Ltd
Since its inception, OakNorth Holdings has secured over $1bn from several investors, including: Clermont Group, Coltrane, EDBI of Singapore, GIC, Indiabulls, NIBC, Toscafund, and SoftBank’s Vision Fund.
The group was founded by Rishi Khosla and Joel Perlman, themselves entrepreneurs who were inspired to launch the business following the challenges they faced in securing debt finance from high street banks for their previous business, Copal Amba (which scaled to c.3,000 employees and was acquired by Moody’s Corporation in 2014).
About OakNorth Bank plc
OakNorth Bank provides fast, flexible and accessible debt finance (from £500k to £45m) to fast-growth businesses and established property developers / investors.
Since its launch, the bank has:
- Lent over £4bn, directly helping with the creation of over 13,000 new homes and more than 17,000 new jobs in the UK;
- Raised deposits from c.60,000 savers;
- Won numerous awards and been recognised as one of the UK’s fastest-growing businesses being listed on the Leap 100, Tech City UK’s Future Fifty, and Fintech City’s Fintech50.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit oaknorth.co.uk for more information.
Contact
Tom Pavey-Smith, Associate Director, Growth & Communications – [email protected] / [email protected], 0791 716 5588