Penthouse Apartments, Kemsley Court, West Ealing - Tier 1 (Phase D)

Investment Summary

OVERVIEW – Investors in the initial phases assisted with the funding of the acquisition of airspace rights. Subsequent phases (including this phase) are funding the development of the five new-build apartments above Kemsley Court located in West Ealing on a quiet suburban residential road.

TERM – The estimated term for this investment is 16-22 months. If the loan is not repaid by the end of the estimated term, returns will accrue on investments for a further 6 months until the hard stop date (August 2025).

PLAN – The Borrower will use this facility to provide funding for all of the development costs of the five residential flats on top of the current building. The Borrower has been granted full planning permission by Ealing Council to complete the development, and the accommodation schedule comprises 1x Studio, 3x one-bed and 1x two-bed apartments.

LOCATION – The Properties are to be located in Ealing, West London. The Properties themselves will be located on Rathgar Avenue, which is a quiet suburban residential road. West Ealing provides numerous amenities with a high street located nearby. The Properties will have good access to transportation, with Ealing Broadway, West Ealing and South Ealing stations all a 5-minute  drive away. Ealing Broadway station provides the new Elizabeth Line, Circle & District Line and Central Line, along with National Rail services.

PROPERTIES – The existing building has 18 residential apartments arranged over two attached blocks. Full planning permission is held to add a fifth floor onto Block A and the addition of a fourth floor onto Block B. This will provide five new residential units. The penthouse apartments will be new-build and of good specification.

THE BORROWER – The Borrower will use this facility to assist with the acquisition of the airspace rights of the Properties. This facility will then subsequently provide funding for all of the development costs of the five residential flats on top of the current building. The Borrower has been granted full planning permission by Ealing Council to complete the development, as well as landlord consent. The accommodation schedule comprises 1x Studio, 3x one-bed and 1x two-bed apartments. The Borrower is acquiring an SPV which contains the freehold rights to the airspace development that is being completed on the top of the building. There is no commercial association between the airspace rights as part of this transaction and the building below.

EXIT PLAN – The Borrower’s primary intention is to sell the Properties on the open market upon completion. The Borrower requires to sell three of the five flats on the highest value sold first basis to settle the entire CapitalRise gross debt, or alternatively four out of the five on a cheapest first basis. For Tier 1 investors the Borrower has to sell either of the three cheapest or most expensive flats to repay invested interest and accrued returns.