United Trust Bank (UTB) and the UK regional real estate specialist, Barwood Capital, have agreed to jointly fund the acquisition and conversion of historic barns in Sutton, Bedfordshire into three luxury homes by developers Resolution Homes.
The project has an estimated GDV of c£2.6m with all three dwellings enjoying open views in a sought-after rural setting. The largest of the conversions, providing more than 3,000 square feet of living accommodation, is expected to sell for in excess of £1m.
Resolution Homes is an existing client of United Trust Bank with a track record of delivering high quality, successful developments. UTB most recently funded its development of 13 apartments in Buckingham, which has now been sold.
In what is the first joint funding together, Barwood Capital’s Residential Investment Platform has provided the equity investment, with the balance through UTB, for c. £1.6m of acquisition and development funding for the Sutton barn conversions. Work is due to commence on the site in May 2019.
Phil Bird, property development manager at United Trust Bank, said: “We are delighted to once again support Resolution Homes with their latest project and we were very happy to work with Barwood Capital in providing funding structured to meet our mutual customer’s requirements.
“We look forward to the delivery of another successful development from Resolution Homes and to working with Barwood Capital again in the future.”
Steve Chambers, director of Barwood Capital, said: “While Resolution Homes is an existing development partner, the joint funding partnership for this Sutton project is our first with UTB. We have been impressed with the UTB’s professionalism and commerciality to provide additional funding for the project.
“Sutton is an attractive location, with great transport links, which is why the opportunity for our Residential Investment Platform to invest in Resolution Homes’ development of the barns into homes in the area will benefit the future homeowners.”
Eddie Lawley, director at Resolution Homes, added: “We are delighted to have secured the joint support of UTB and Barwood Capital on this project and look forward to working with both Phil and Steve over the next 12 months or so as this development progresses.
“We see this as a further important step in the evolution of Resolution Homes and consider the partnership arrangements we now have with UTB and Barwood to offer good foundations from which to continue to grow our business.”