Finance firm agrees £600k facility for Bollington commercial development
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Bolton-based PMJ Capital has agreed a facility of £600,000 to assist with the build costs for a new 6,000 sq ft commercial development in Bollington, Cheshire which will be largely occupied by Tesco on completion.
PMJ is lending to the pension fund Cheshire Taverns Retirement Benefit Scheme led by experienced property developer Steve Price.
The gross development value of the scheme is £1.4m, with a loan term of 12 months and a loan-to-GDV of 50%.
The site was previously the former Wagon and Horses pub and occupied by the established Bay Leaf Lounge Indian Restaurant prior to planning being obtained for the new-build scheme.
The Bay Leaf will return and occupy the first floor of the completed scheme.
Steve Price has more than 40 years in the property and hospitality sectors and has previously developed highly successful residential schemes in the Cheshire region in Alderley Edge and Mow Cop.
Managing director of PMJ, David Rainford, said: “Steve’s years of experience made our decision to support this well located, pre-let development all the more simpler.
“I look forward to seeing the finished development early in 2021 and sampling the Bay Leaf Lounge cuisine.”
Steve Price said: “Working with PMJ has been a breath of fresh air. They took a commercial and pragmatic approach throughout to get the deal across the line.”
He added: “Coordinating an agreement with Tesco was obviously a fantastic result, however, we are also extremely pleased to be supporting the local hospitality industry at an obviously particularly difficult time for them.”
Work has begun on site and is due to complete early 2021.