Investec Structured Property Finance has provided Floreat’s real estate team with a £19.3m five-year facility to support its acquisition of a 99,990 sq ft office building at The Old Vinyl Factory.
Floreat has bought the Shipping Building in Hayes which is part of the U+I redevelopment of the former EMI record factory, which at one time accommodated 22,000 workers.
The building is let to seven occupiers including Air transport technology company SITA, wireless hi-fi pioneers Sonos and IT providers CHAMP Cargo Systems. Floreat plans to refurbish some of the office space.
The wider £250m regeneration of The Old Vinyl Factory will provide 642 homes, 500,000 sq ft of office space and a variety of restaurants and shops once complete.
Jonathan Long, at Investec Structured Property Finance, commented: “The Shipping Building is well-let and carries asset management opportunities as well as the ability to drive reversion. This is our first transaction with Floreat and we look forward to building on this relationship in the future, backed by our expertise including development and investment funding across different sectors.”
Gavin Booth, Investment Director at Floreat, added: “The regeneration of the Old Vinyl Factory, together with the arrival of Crossrail, presents a compelling investment opportunity and supports our longer-term strategy of investing in growth locations both in London and the rest of the UK.”