ICG Real Estate backs Related Argent’s Build-to-Rent project with £243m loan
Related Argent has agreed a £243m loan with ICG Real Estate for the delivery of a Build-to-Rent (BtR) scheme in Tottenham Hale, London featuring 484 new rental homes. ICG Real Estate provided the construction loan as part of its Real Estate Debt strategy.
The new BtR homes represent the second and final phase of the 3.5-acre Heart of Hale regeneration project which is owned, developed and managed by Related Argent. The total development, which is in excess of £600m, comprises of 1,032 new homes, including market sale, on-site affordable and BtR housing across seven buildings.
The residential accommodation is being delivered alongside new public spaces and squares, leisure and retail facilities. 417 homes across three buildings have already been delivered with first residents moving in from July 2022.
Phase two comprises 1 Ferry Island, a 12-storey residential tower with 108 homes, and 2 Ferry Island, featuring 376 homes across two towers rising to 38-storeys, both designed by architectural practice Allford Hall Monaghan Morris (AHMN). The development is being constructed by Midgard. Final completion is anticipated for Q4 2026.
Related Argent’s BtR portfolio draws on the established record of Related Companies, which has over 71,000 homes across the USA. Known for its outstanding customer service, Related Companies has decades of proven experience in the sector. Related Argent’s BtR offering is led by Tom Goodall, Managing Director of Related Argent, together with Michael Herrington, Director of Build-to-Rent Operations.
Michael brings over 20 years’ of BtR and residential operations experience including Senior Vice President of Related Rentals where he has overseen the successful operations management of thousands of rental homes across New York City, Boston and Chicago.
The scheme, in partnership with Haringey Council, will also feature a major new pedestrianised civic space at the heart of the Tottenham Hale masterplan with Related Argent bringing together a rich programme of public art, events and activities creating a vibrant new destination for the local area. Retail and commercial spaces will also line the main square including shops, cafes, leisure and offices.
The Related Argent and Haringey Council partnership is also delivering 131 affordable homes in the Welbourne building together with a new NHS health centre for the local community. Phase one of the residential scheme also saw Tottenham Hale railway and underground stations receive a £30 million upgrade alongside a new Tottenham Hale Bus Station.
Tom Goodall, Managing Director of Related Argent said: “The last year has seen successful delivery across our residential portfolio with 635 homes completed including the imminent opening of Author King’s Cross, our first BtR offer at King’s Cross, and over 1,200 new homes currently under construction.
“The capitalisation and start of major construction at 1 and 2 Ferry Island are important milestones to complete the Heart of Hale development, creating a new community and a destination for Tottenham Hale. Heart of Hale is evolving into what we believe is one of the most vibrant and best connected places to live in North London.”
Jai Patel, Managing Director of ICG Real Estate commented: “Living remains one of ICG Real Estate’s long held high conviction sectors for both our debt and equity strategies. This substantial development loan reflects our ambitions in this sector and enables the delivery of 484 much needed new homes in the U.K. capital, alongside new public realm, leisure and retail amenities for the local community.
“This project forms part of a wider regeneration project in this part of North London and underlines our commitment to funding high quality accommodation within visionary mixed-use developments. It also allows us to extend our relationship with Related Argent, demonstrating our appetite to provide both large & flexible financing solutions to best in class sponsors across the UK and Europe.”
Kevin Keegan, Managing Director of Midgard added: “We are delighted that Related Argent has entrusted us with constructing the final phase of the Heart of Hale scheme. These are buildings of exceptional architectural quality and we look forward to delivering this new London landmark.”