After Elder and Alara Investments acquired Reading's Greyfriars House under a joint venture, they needed a funding solution capable of progressing the site through planning and demolition stages while retaining flexibility over its long-term future.
The scene
Just a three-minute walk from Reading train station sits Greyfriars House. Once a Ministry of Justice probation office until 2021, it's now set to become the town's first co-living scheme, known as The Highline. It will host 266 beds and a range of amenities across 12 floors, including a gym, landscaped gardens and a cinema.
Thanks to the site's central location, it's well-positioned to benefit from Reading's ongoing regeneration and growing demand for high-quality rental accommodation.
Secure Trust Bank was approached via a longstanding relationship. Alara is an existing client of our commercial finance division, while a director at Elder had previously partnered with us on a separate project. These positive experiences, combined with our reputation for providing responsive, relationship-led funding solutions, made us the ideal lender for this venture.
The solution
We stepped in with a £4.5m land bridge loan, representing a 50% LTV, to see the project through Gateway 2 approval, demolition and the wider planning process.
The 18-month facility, led by relationship director Mike Feasey, was completed in just seven weeks, reflecting the collaborative approach and professionalism of all parties involved. It marked our second-ever land bridge and our first co-living transaction, highlighting our growing remit in the UK's evolving living sectors.
Construction on The Highline is set to commence next year, with completion expected by the end of 2029. Residents will also be able to reach London Paddington in under 25 minutes, further enhancing the scheme's appeal to professionals seeking well-connected rental accommodation.
In their words
Charlie Hustler, co-founder at Elder, said: "Greyfriars House was an opportunity we simply couldn't ignore. Its location in the heart of Reading, just minutes from the station, combined with the growing demand for co-living accommodation, makes it a compelling redevelopment project.
"The experience of working with STB has been seamless from the outset. What stood out was the ease of communication, the responsiveness of the team and the speed at which the transaction progressed. Having a lending partner that understood the opportunity and could move quickly was incredibly valuable, and we look forward to working together again in the future."
Ed Marsh, co-founder at Elder, said: "We believe Reading is one of the UK's standout locations for co-living. Few regional centres combine such exceptional rail connectivity, a strong employment base and a thriving new business district at Station Hill. Those fundamentals create the perfect environment for a new generation of flexible urban living.
"The Highline will reflect how people increasingly want to live, work and connect, and is the first step in establishing Elder as a leading developer and operator of thoughtfully designed co-living communities in strategically connected UK towns and cities."
In our words
Mike Feasey, relationship director at Secure Trust Bank Real Estate Finance, said: "Greyfriars House represents an exciting opportunity to bring a prominent town centre building back into productive use and support the growth of co-living in Reading.
"Land bridge facilities play an important role in helping developers reposition assets and prepare sites for their next stage of development.
"The professionalism of everyone involved helped the deal progress smoothly, enabling us to provide a funding solution that gives the joint venture flexibility as it evaluates the best long-term outcome for the site."
John Griffin, managing director at Secure Trust Bank Real Estate Finance, added: "Today's borrowers need more than just funding. They need a trusted partner that understands their transaction and can support them through each stage of the property lifecycle.
"This deal demonstrates the value of combining specialist real estate expertise with a relationship-led approach, ensuring clients have the flexibility and support they need to progress their projects with confidence."
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