UBS Asset Management has provided a £17 million development financing facility to Inspired Asset Management to fund a ‘micro-apartment’ scheme in Greater Manchester.
The loan will finance Fabrick, a 184-unit scheme in Cheadle Hulme, which will comprise one and two bedroom high-specification apartments. The apartments range in size from 323 square feet to 409 square feet for a one-bed and 527 square feet to 614 square feet for a two-bed unit. Communal space will include a rooftop terrace.
The office-to-residential scheme will convert the 81,956 square feet Sim Chem House office building, located eight miles from Manchester city centre. The 1960s building is to be stripped back to shell-and-core, with a new façade to be created.
The scheme is Inspired’s first in the north of England and has an estimated gross development value of more than £28 million. Construction is expected to start this summer. One-bedroom units are priced from £130,000 and more than 30 have been reserved, the firm said.
“We only completed on the scheme in February so to get funding so early on highlights the confidence in our proposals and the location. Manchester is the country’s second city and has attracted a lot of attention from those looking outside the capital. Despite recent growth, prices are still below their 2008 peak which shows where they are in the cycle,” said Martin Skinner, chief executive of Inspired Asset Management.