Island Quarter owner completes debt restructuring
Conygar, the property investment and development group which owns The Island Quarter regeneration site in Nottingham, has completed the restructuring of its debt facility in connection with the development loan provided by Barclays Bank.
The restructuring extends the final repayment date for the loan from 23 March 2025 to 23 December 2025.
Conygar says this will help with more lettings and “stabilisation” of Winfield Court, the student accommodation development at The Island Quarter site, provided as security for the loan.
Meanwhile, the total facility amount will be reduced from £47.5m to £46.6m and the interest rate margin payable on the loan reduced from 3.25% to 2% to be offset by a £500,000 exit fee.
Robert Ware, chief executive of Conygar, said: “We are delighted to have extended the development loan facility with Barclays, which will enable the further letting and better stabilisation of our student accommodation development for the 2025-2026 academic year.”
This morning (March 24), Conygar announced that it has agreed to sell its Holyhead development land and adjoining seabed, along with its land at Parc Cybi, for a total of £6.6m.
Part of the proceeds, £3m, will be used to repay the Barclays development loan related to Winfield Court, with the remaining balance supporting the group’s ongoing operations.
In December, Conygar said Winfield Court was 54% occupied, generating £1.5m in net income before financing costs.
