Secure Trust Bank (STB) Business Finance has provided a £4.5 million land bridge loan for Greyfriars House, a 266-bed co-living development in Reading. This funding, representing a 50% loan-to-value (LTV) over an 18-month term, will support the project through planning and demolition stages.
Funding Flexibility for Joint Venture
The loan enables the partnership between Alara Investments and Elder to explore options for the site, such as a potential sale or further development. STB may consider backing future phases of the project. Situated at 20-30 Greyfriars Road, the site holds full planning permission (PL/24/1501) for a co-living scheme. Its central location, near Reading station, is highlighted by STB as aligning with the town’s ongoing regeneration and demand for high-quality rental accommodation.
From Offices to Co-Living
Previously occupied by the Ministry of Justice until 2021, the building is slated for demolition. Plans include converting the former office space into a 12-floor co-living development with resident amenities. The deal, finalized in seven weeks, was facilitated by pre-existing relationships. Alara is an STB client, and an Elder director had previously worked with the bank on another project.
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Seamless Collaboration Highlighted
“Greyfriars House was an opportunity we simply couldn’t ignore,” said Charlie Hustler, co-founder at Elder. He commended STB’s communication, responsiveness, and speed, noting the value of a lender that understands opportunities and acts quickly. Mike Feasey, head of bridging at STB, emphasized the role of land bridge facilities in asset repositioning. He attributed the smooth process to the professionalism of all involved, providing the joint venture with flexibility to assess long-term options.
Relationship-Led Approach Key to Success
John Griffin, commercial director at STB, highlighted the importance of being more than just a funder. He emphasized the need for a trusted partner with real estate expertise and a relationship-focused approach to support clients through property lifecycle stages.
