Residential developer extends financial facility to allocate capital more effectively
Manchester-based residential developer and development manager, Zentra Group, has signed a 12-month extension to a £500,000 unsecured loan.
In March 2024, the company announced its repayment of a £1.5m unsecured corporate bond and secured a new 12-month £500,000 unsecured loan with a bondholder at an interest rate of eight per cent per annum.
This loan has now been extended for a further 12 months at a revised interest rate of six per cent per annum, effective from March 15, 2025.
Zentra said the extension provides the company with additional financial flexibility as it continues to execute its development strategy, ensuring it can allocate capital effectively while progressing key projects.
Zentra rebranded from One Heritage Group in September last year, which it said better reflected its renewed strategic focus and its independence from the One Heritage brand.
Earlier this week Zentra revealed it had acquired a parcel of land at Old Mill Street, Manchester for £1.425m.
It said it hopes to build a six-storey apartment block on the site, which is currently a car park.
Up until the 1960s the site housed a rectory and is within Manchester’s New Islington Masterplan, an area undergoing extensive regeneration with homes, workspaces, a marina, restaurants, and bars.
Jason Upton, CEO of Zentra Group, said: “We are excited to announce this acquisition which is our first under the Zentra Living brand.
“The New Islington area is a great example of urban regeneration done exceptionally well, and this site provides an excellent opportunity to deliver high quality, design-led homes in a vibrant and desirable location.
“Zentra remains committed to playing a key role in creating sustainable and thriving communities while addressing the demand for modern, well connected urban housing.”
The proposed development will consist of a six-storey apartment block, delivering 40 residential units (20 two-bedroom and 20 one-bedroom apartments) and a ground-floor commercial unit.
The acquisition is subject to formal planning approval, expected to be received in March 2025.
Legal completion is anticipated to be 15 working days following this approval. The commencement of construction works is targeted for Q4 2025, with construction expected to last 18 months.
