£50m funding deal agreed for Island Quarter scheme

Conygar, the owner of the £1bn Island Quarter in Nottingham, has landed a £47.5m funding deal that it says will help it complete a major 693-room student scheme on the site.

The land developer has signed a deal with Barclays that it says will mean the major scheme will be completed by the summer of 2024.

Conygar has also announced that it is looking to raise a further £30m through the issue of “zero dividend preference” (ZDP) shares. The firm says the proceeds from this share issue will be used on further developing the Island Quarter site – but may also be spent on further acquisitions of investment properties.

Robert Ware, chief executive of the company, said: “We are delighted to have secured the facilities with Barclays which now enables both the completion and also the subsequent letting of the student accommodation development at The Island Quarter and the further progression of the opening up of this exciting and substantial mixed-use development.”

The plans to build the student scheme at the Island Quarter were given the go-ahead in September 2021. Bowmer and Kirkland is the main contractor.