Leumi UK loans €105m loans for residential and hospitality projects

Specialist real estate lender Leumi UK has loaned Commercial Estates Group (CEG) £29 mln (€33 mln) for a major residential project in central Birmingham, their second deal together. 

The loan will refinance and advance the initial stages of constructing three Build-to-Rent towers on Smallbrook Queensway, totalling 1,635 apartments. 
Located near New Street Station, the vibrant Chinese Quarter and Gay Village, the development will feature high-spec apartments, communal roof terraces, and sustainable features like solar panels and energy-efficient systems, aiming for a BREEAM Excellent rating.
Chris Stallard, relationship director at Leumi UK, said: “This development is ideally located in central Birmingham and will play an important role in providing meaningful supplies of new homes that the city urgently needs. This transaction epitomises Leumi UK’s relationship-driven approach and commitment to delivering efficient, flexible finance solutions. We look forward to supporting future projects with CEG.”
Separately, Leumi UK also provided a £62 mln (€72 mln) loan to Splendid Hospitality Group, marking their first deal together. 
The financing will refinance two of Splendid's London hotels: a newly opened 201-room Four Points Flex by Sheraton in Euston and a 134-room Holiday Inn in Brentford. 
Both hotels are strategically located, with the Euston property near major transportation and the Brentford hotel convenient to Heathrow and local businesses. 
Soraya Shamji, relationship director at Leumi UK, commented: “This competitive refinancing was attractive for a number of reasons, not least Splendid Hospitality Group’s strong track record of delivery. The two assets have a promising future of robust performance, and our successful collaboration with a seasoned sponsor like Splendid was instrumental in completing what we anticipate will be the first of many partnerships. This transaction illustrates our commitment to leveraging deep hospitality market expertise to deliver tailored funding solutions that precisely meet our clients’ needs.”