Energiser Investments PLC

Wellingborough, Northants Equity

  • Target:

    Equity investment.
  • Investment Start

    Q1,2008
  • Investment:

    £3,000,000
  • Investment End:

    Ongoing
  • Return:

    Annual net income yield on cost of circa 6%
  • Category & Tags:

    Direct Investment, ST Loan


1.Description

The developer building this residential estate experienced financial difficulty in 2008 as the financial crisis started. The project lender Barclays Bank worked with Energiser to refinance the project. The Group provided equity and mezzanine funding on 29 houses under development and subsequently took over the whole investment (which by that point was 20 part completed houses) as the developer went into liquidation. The company completed the development and let all 20 units.

2.Plan

The asset plan is to maintain a high level of occupancy at the 20 residential units and increase rental income. The objective is to maximise rental and capital value.

3.Outcome

Occupancy levels are excellent having historically been higher than 96% and rental income has been increasing. Capital value has also increased.