The whole development will be managed as a PRS scheme, and was forward sold before construction commenced to a £300bn investment management group.
The project is currently in its early-construction phase, and is expected to be finished by March 2019. Lendinvest says the total gross development value (GDV) of the project is forecast at £17.25m, with the average unit valued at £155,000.
KMRE Group, a development business, will be responsible for the construction.
All of the 111 units financed by the loan – which range from one to three-bed apartments – will be available for rent.
Steve Larkin (pictured), director of development at Lendinvest, commented: “KMRE Group is an experienced development business that is focused on providing new homes in parts of Yorkshire where they are most urgently needed. It’s been a pleasure to be able to work with them for a second time in less than a year.
Larkin continued: “Funding a multi-million pound deal with a borrower that’s able to strike important PRS deals with global asset managers also demonstrates how far we have come as a development lender.”
Commenting on the deal, Kam Mogul, managing director of KMRE Group, added: “We’re delighted to work with the Lendinvest team for a second time on a deal that is of critical important to the Kirkstall neighbourhood where new rental options are in high demand.”
“Lendinvest was able to turn around the terms of this deal efficiently and quickly for us, so that we can continue to focus on growing our business and finding more end-buyers like our current investors,” Mogul continued.