Quintain, the developer behind the transformation of Wembley Park, has successfully completed a £150.9m financing package with Goldman Sachs to deliver 396 new rental homes across three new buildings at the North West London site.
The financing deal secures the development of two neighbouring plots (NW09 and NW10), located next to Boxpark Wembley, within the 8,500 home Wembley Park masterplan.
James Saunders, CEO at Quintain commented:
“Completing our latest funding round with Goldman Sachs marks a fantastic start to 2020. Their teams’ understanding of the Build to Rent (BtR) market and adaptability has enabled us to secure a financing structure tailored to our specific needs. The funding will continue the transformation of Wembley Park as we head into one of our most exciting years yet with Euro 2020 and the launch of the London Borough of Culture over the comings months.”
Chris Semones, at Goldman Sachs added:
“We are delighted to be backing Quintain in Wembley Park. This transaction continues our originate-to-hold strategy for large loans against high quality projects with excellent sponsorship. In particular, this loan extends our recent track record of investing in U.K. BtR projects that are supported by strong underlying demand fundamentals. This transaction brings our total European credit investing over the past three years to $1.4bn through our real estate debt funds, Broad Street Real Estate Credit Partners.”
The backing from Goldman Sachs marks Quintain’s third successful financing deal over the last 12 months, with a total of £438.5m secured since March 2019.
McLaren Construction has been awarded a £130 million contract by Quintain to deliver a fourth development at Wembley Park, taking the overall value of McLaren’s projects at the site to £302 million.
McLaren’s contract is for the construction of plots NW09 and NW10, which are part of Quintain’s 85-acre Wembley Park estate. The plots will deliver 396 build-to-rent homes in three buildings that will be run by Quintain’s rental management platform Tipi, a 1,000sqm of ground floor retail space and 1,200sqm earmarked for a GP surgery.
The new contract has been awarded after handing over the 340-apartment residential scheme W03 (now known as Alameda) and 115,000 sq ft. of Grade A office space at the W06 development along Wembley Park Boulevard in 2019. McLaren is due to complete the 150-apartment residential block of W06 in March 2020.
John Butten, McLaren’s Managing Director – Major Projects, commented:
“This is fantastic news for McLaren, and we are pleased to have been awarded our fourth project at Wembley Park. It is a great achievement, showcasing McLaren’s continuous growth in these large-scale projects and our great customer relationships. We are delighted to continue working with Quintain to ensure this project is delivered successfully, further enhancing the area for local residents.”
Matt Voyce, Quintain’s Executive Director of Construction, commented:
“We are delighted to have the McLaren team on board to deliver their fourth project at Wembley Park. We look forward to continuing the transformation of the 85-acre site by delivering thousands more homes, retail and office space and continuing our strong relationship with McLaren through our construction framework.”
McLaren has been an active member of the Brent community since 2017, through its projects and its relationship with Quintain. Engagement with the local community has provided much-needed employment opportunities to Brent residents. McLaren remains committed to working with Quintain and the other contractors on the framework to develop better communities together.
Through its previous Wembley Park projects (W03 & W06), McLaren has recruited 24 apprentices and 17 local people into jobs. Around 30 per cent of those working on site have been Brent residents.
McLaren has participated in various community activities in Brent with Quintain, including the Considerate Constructors Scheme Big Build event with local primary school children, a hoarding art project with a local senior school, a DIY workshop (painting and decorating), a primary school playground refurbishment and a cycle safety event with Metropolitan police.
Main construction works are underway at plot NW09/10 and are due to complete in the summer of 2022.