Re-development facility from West One unlocks £9.2m GDV from vacant city centre asset

The Situation:

The client owned a vacant mixed-use office and retail building in Sheffield city centre, with a market value of £2.3m in its existing form. The property was arranged over six levels, including two basement levels providing parking and ancillary space.

While the asset was well-located and prominent, it was no longer being utilised effectively in its current configuration. With planning permission already granted, the opportunity existed to significantly enhance the value of the site, but required a lender able to support a complex, multi-unit redevelopment.

The Solution:

West One structured a £5.78m development facility at roughly 63% LTGDV over an 18-month term, aligned to the client’s build and exit strategy.

The scheme comprises:

• Conversion of the existing building into 43 residential apartments
• Construction of three additional commercial units within the basement/car park

The facility was structured with a 12-month build period followed by a 6-month sales window, providing sufficient time for both construction and disposals.

With the LTGDV within acceptable parameters, the deal was underwritten to reflect both the developer’s experience and the strength of the proposed scheme.

The Benefit:

The funding unlocks the full development potential of the asset, transforming a vacant building into a diversified, income-generating scheme with a GDV of £9.2m.

The blend of residential and commercial units also creates multiple exit routes and diversified risk, supporting both sales and long-term investment strategies.