£10m loan will fund next phase of work at The Lyceum residential scheme
Maslow Capital has awarded a £10m development loan to Liverpool-based ethical property developer, Integritas Property Group, to fund the next stage of its residential development at The Lyceum, Greater Manchester.
Following completion of groundworks and foundations, the loan will provide working capital for the next phase of the high-end development situated in Eccles.
All 82 units have been purchased leasehold after they were released for investment in February 2023, with the first expected completion date set to be within the first quarter of 2024.
IPG took over The Lyceum, Greater Manchester development in 2020 after the previous developer went into administration, establishing the Lyceum Investors Group to protect investors’ interests and ensure the site’s completion as planned.
Mitchell Walsh, IPG managing director, co-ordinated the sale of the scheme back to the investors with accountancy firm Cowgills, which replaced FRP as administrator in February 2021.
Mr Walsh said: “Securing this loan marks the next step in turning what could have been a disaster into a positive situation with this development.
“As we took this project over from another developer that had entered administration, there has been additional legal challenges to secure this loan. This loan facility now enables us to swiftly continue construction and make progress towards completing the development on budget and on time in Q1 of 2024.”
He added: “IPG has a long-standing aim to become a beacon in the development community, with a solid track record of completed projects. This loan from Maslow Capital will enable IPG to take the next step towards another successfully completed project.”
The Lyceum, a Grade II-historical landmark in the heart of Manchester, is being meticulously restored in line with the high expectations of English Heritage. It originally opened as The Old Palace Theatre in 1899, later becoming a cinema in 1932 and a bingo hall in 1963, before falling into disrepair internally in the late 1980s.
IPG is now transforming this important building into 82 residential properties in a mixture of stunning one-, two-, and three-bedroom apartments, with select units benefiting from views across both the Peak District and Pennines. The site will also contain a small area of retail space.
Situated in Eccles and bordering Salford Quays, it offers residents the unique comfort of a large out-of-town residential apartment with easy access to Manchester’s city centre.
Sky Mapson, deal origination at Maslow Capital, said: “Maslow Capital is dedicated to supporting ethical, forward-thinking, and ambitious developers, and IPG fits this profile perfectly.
“The development plan presented by IPG showcased a strong commitment to preserving the historical elements of the property, while simultaneously incorporating new construction and sustainable energy elements.”
Rachael Gordon, head of deal execution at Maslow Capital, said: “The project’s focus on creating affordable housing and rejuvenating a Grade II-listed building that had fallen into despair, aligns well with our values of enhancing local communities.”
IPG specialises in new-builds and refurbishments in the residential sector and plans to complete more than 1,000 homes in the North West across the next few years.
Current developments include Bastion Point in Vauxhall, Liverpool, comprising 240 one- and two-bedroom apartments, Cavendish Waters in Liverpool, comprising 70 luxury apartments, and Copper Box in Crosby, North Liverpool, which includes 27 apartments across six floors.
