Major 1,635-home scheme secures £29m funding boost

A £29m facility is set to kickstart the initial phases of a 1,635-apartment scheme in Birmingham.

Specialist real estate lender Leumi UK has provided the £29m loan to CEG to refinance and progress the initial phases of the development on Smallbrook Queensway.

Comprising three towers of 44, 48 and 56 storeys, the scheme will connect Southside, Chinatown, and the Gay Village and promises £6m of public realm improvements. 

Smallbrook Ringway Centre is being demolished to make way for the development. Despite being granted approval in September 2023 for the scheme, the council had to review plans following a campaign from the Save Smallbrook group, which hired Estelle Dehon, a leading KC with Cornerstone Barristers to legally challenge the decision.

This marks the second transaction between Leumi UK and CEG. 

Gordon Grech at CEG added: “We appreciate Leumi UK’s continued support throughout our second transaction together, as well as their ability to move swiftly on what was a complex deal. The team’s clear understanding of the sector and ability to navigate multiple moving parts ensured a smooth process.

“This is a transformational project for Birmingham, and we are excited to take it to the next stage as we move towards delivery.”

Chris Stallard, relationship director at Leumi UK commented: “We’re thrilled to work with CEG again, a highly respected organisation with a long history of delivering high performing schemes across a broad range of sectors.

“This development is ideally located in central Birmingham and will play an important role in providing meaningful supplies of new homes that the city urgently needs”.