Investec funds development of Pace’s Cambridge project

Pace Investments has attracted senior debt development finance for its speculative office scheme in central Cambridge. Private bank Investec’s structured property finance arm provided the loan for the 53,000 sq ft Botanic House, which Pace hopes to let for over £30/sq ft.

Nearby, Microsoft has agreed to pay £29.50/sq ft for 77,800 sq ft on Station Road. Investec is also providing debt and equity for Ronson Capital Partner’s first deal, the £63m purchase of International House on Chiltern Street, Marylebone.

RCP snapped up the building from Deloitte, administrator to Targetfollow’s collapsed subsidiaries, after a deal with Ridgeford collapsed. RCP will convert it to flats when leases expire in 2014. Morgan Stanley Real Estate Fund VII has pulled out of a deal to buy Pace Investments’ City  development site, Sugar Quay.