Investec Real Estate provides €49.7m loan for industrial park expansion

Investec Real Estate has provided a £42.3 mln (€49.7 mln) loan to a joint venture between Aureon Partners (advising Quilvest real estate funds) and Arax Properties.

Falcon Park

The loan is secured against Falcon Business Park in Loughborough.

This funding will be used to refinance existing debt on the fully occupied park and to support the development of five new speculative industrial units. The existing estate spans approximately 58,990 m2, with the new construction adding another 10,034 m2 of modern industrial space, bringing the total built area to around 69,024 m2.

Aureon Partners and Arax Properties plan to maintain the park's current income while adding new, high-quality units to meet the strong demand for industrial space in the well-connected Midlands region. The park boasts excellent transport links, including proximity to the A6, M1, East Midlands Airport, and Loughborough train station.

Tom Griffiths, Investec Real Estate, said: “This transaction reflects a focus on delivering financing that supports both immediate priorities and longer-term plans. By refinancing the stabilised estate while funding new development within the park, Investec has provided Aureon Partners and Arax with a structure that offers near-term certainty and the flexibility to pursue value creation over time.”

Andreas Rentsch, Aureon Partners, said: “We are delighted to partner with Investec on our investment in Falcon Business Park. Their understanding of the asset and the local market was combined with a highly responsive and solutions-focused approach.  We look forward to delivering the next phase of our development at Falcon Park North, with them.”