An investment fund has helped a construction company target its first multi-plot residential development.
JD Holmes, the residential building division of JD Joinery and Building Services, secured £630,000 from FW Capital, which manages the North East Property Fund, to bring forward The Stables housing scheme in Stannington.
The homes, which are a bespoke collection of three and four-bedroom detached properties, are aimed at families and have just been released, with prices starting from £325,000.
The £10million North East Property Fund was established with the aim of kick-starting the development of small-scale property schemes and is backed by Santander and the North East Local Enterprise Partnership (LEP).
Joe Dixon, Managing Director of JD Homes, said: “Launching a residential homebuilding division has long been an ambition of the business and the North East Property Fund helped to realise this.
“JD Joinery and Building Services has built a strong reputation as an innovator in residential building.
“We are bringing these specialist skills to the JD Homes brand with the aim of creating family homes featuring smart home technology and low-energy design.”
Tony Cullen, Investment Executive at FW Capital, said: “The North East Property Fund was set up to bridge a gap in funding for developers just like Joe who have plenty of experience and a great track record in delivery.”
David Land, the North East LEP Investment Board Chairman, added: “The Strategic Economic Plan sets out a clear need for more homes to help drive economic growth.
“It is hugely positive to see the North East Property Fund fulfilling its purpose by providing a stop gap and that JD Homes has been able to make such good use of the loan.”
Stephen Carmichael, Relationship Director at Santander, said: “I’m delighted to see further evidence of FW Capital’s success in identifying and executing deals that help to meet the objectives of the North East Property Fund and more importantly, to meet the economic objectives of the North East region.”
For more information, visit http://www.fwcapital.co.uk/funds-we-manage/north-east-property-fund.aspx