Deutsche provides £70m loan for Moda’s Liverpool flagship
Deutsche Bank has signed a deal to provide a £70m loan for Apache Capital’s Lexington in Liverpool, a flagship scheme in its build-to-rent platform with developer-operator Moda Living.
The £70m facility refinanced a legacy development loan with a new investment loan.
The £115m GDV scheme was the first operational development in Apache Capital, Harrison Street and NFU Mutual’s joint venture, which launched in 2018 to fund delivery of Moda’s BTR portfolio in core cities across the UK. Moda is developing and operating the portfolio.
Deutsche Bank has signed a deal to provide a £70m loan for Apache Capital’s Lexington in Liverpool, a flagship scheme in its build-to-rent platform with developer-operator Moda Living.
The £70m facility refinanced a legacy development loan with a new investment loan.
The £115m GDV scheme was the first operational development in Apache Capital, Harrison Street and NFU Mutual’s joint venture, which launched in 2018 to fund delivery of Moda’s BTR portfolio in core cities across the UK. Moda is developing and operating the portfolio.
The 325-home BTR property is located on the Liverpool waterfront within a wider regeneration project. Initial construction started in September 2018 and completed in August 2021.
Apache Capital previously sourced debt funding from Goldman Sachs, LaSalle, Wells Fargo, BentallGreenOak and Deutsche Pfandbriefbank.
John Dunkerley, co-founder and CEO at Apache Capital, said: “The fact we were able to complete this transaction despite the challenging market conditions reflects both the quality of the product delivered by Moda and the enduring appeal of residential for rent as an asset class.
“We firmly believe our highly amenitised and serviced model with Moda will prove resilient, with both existing and prospective customers coming to appreciate the benefits of living in an a professionally managed modern apartment building that is more energy efficient than a home in the traditional private rented sector, and comes with a host of onsite amenities, special resident services as well as other benefits that are included within the monthly rental payment.”
Paul Bashir, chief executive of Harrison Street’s European business, said: “The successful refinancing reflects Harrison Street’s commitment to identifying attractive, high-quality BTR opportunities in markets backed by strong demographics. “
Johnny Caddick, chief executive of Moda Living, said: “The Lexington has outperformed the Liverpool market and is now reaching stabilisation within just one year of opening. Its continued performance is testament to the brand, the support of our investment partners and the highly provisioned rental experience we deliver across our living sector platforms.”
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