Property signs are good as Evans secures £175m funding deal
EVANS Property Group is looking at investment and acquisitions after securing a funding deal worth £175m.
The move is a further positive sign that the commercial property market is returning to growth as Leeds-based Evans is recognised as one of the shrewdest players in the property market having sold a £400m investment portfolio in the summer of 2007, just before the credit crunch and subsequent recession.
The firm is planning a series of projects throughout the UK as part of a refinancing package provided by The Royal Bank of Scotland Corporate and Institutional Banking (RBS CIB) and Barclays.
With its headquarters in Leeds and another office in London, the family-owned Evans Property Group is a long-established private property investor and developer.
The group is currently refurbishing its Minerva House and Capital House buildings in Leeds and the neighbouring stacking car park that backs onto Greek Street is to be converted into a Dakota Hotel.
Evans’ other investments in Leeds include 1 Park Row and the White Rose Shopping Centre.
The funding will also see Evans invest in extensions of its interests in the Forest of Dean and Sherwood Forest, as well as the purchase of a Dakota Hotel in Glasgow.
RBS CIB provided £125m and Barclays £50m for the facilities package.
Founded by Fred Evans, the business grew significantly under his son, Monaco-based Michael Evans, and now Michael’s son Roderick runs the business.
Paul Millington, financial director at Evans Property Group, told TheBusinessDesk.com that it was seeing investment in the London market “ripple out” into the regions and an “increased appetite” from banks to lend would help that.
Roderick Evans said that that the company is looking at acquisitions but it would not get carried away. He said: “We are looking at opportunities, including investment in our current portfolio and acquistions. But we will remain steady and even a bit dull!”
Mr Millington added: “We are delighted to continue our longstanding relationship with RBS and Barclays and the facility provides a sound platform for growth in an improving real estate market.”
Stuart Heslop, regional managing director, RBS Real Estate Finance, said: “We have supported Evans group from our Leeds office for 40 years and we are delighted to be able to continue to work with them on the back of this refinance. Our commitment to the sector is to back the best people in the market and the Evans business is a great example of where we will be supporting investment and development activity across the UK. It is key that we have teams on the ground across the country who are close to local market conditions to ensure that we are there to deliver for our clients.”
David Hardcastle, head of Barclays Real Estate team in the North of England, added: “The Evans Group has a strong presence in the region and an astute management team and we are confident the wide working relationship both locally and nationally will continue to strengthen with Evans taking full advantage of growth opportunities in the markets they operate in.”
