Hampshire Trust Bank (HTB) has completed a £25 million deal with GMV Twelve for a new suburb in Leeds.

The funding will be used to build the Kirkstall Forge neighbourhood in western Leeds by refinancing and restructuring Commercial Estate Group’s (CEG) secured debt facilities across the site. On the banks of the River Aire, Kirkstall Forge will be a brand-new community of more than 1,400 homes, offices, hospitality and leisure venues, as well as a nursery and transport infrastructure.

The case was introduced to HTB by LEXI Finance. The deal was complex, with security documents spread across three different jurisdictions, including Jersey and Gibraltar, five legal teams and a complex corporate structure.

Rob Syrett, head of origination of development finance at HTB, said: “It was a real pleasure to work with both CEG and LEXI on such a flagship scheme as Kirkstall Forge. The deal allowed HTB to once again demonstrate its commitment and ability to support groundbreaking schemes with complex structures to achieve a positive outcome for all parties.

“We strive to deliver a best in class service and are absolutely committed to supporting clients such as CEG with the development of landmark schemes across Britain and we look forward to continuing to work with them to deliver the project.”

Sam Le Pard, director at LEXI Finance, added: “We conducted a rigorous tender process on behalf of CEG with HTB quickly demonstrating themselves as the most competitive partner and a like-minded counterparty. Like any large land transaction, the deal had its complexities, however HTB demonstrated exceptional commercial acumen in their efficient execution of the loan.

“We’re proud to have played a small part in the site’s history, unlocking CEG’s vision for a legacy project that will make a huge mark on the local community. Every party in this transaction displayed the utmost professionalism in getting the transaction across the line within fairly tight time constraints.”

Neil Leitch, managing director of development finance at HTB, said: “We are delighted to be involved with such an important strategic site as Kirkstall Forge. With a vibrant office already built and occupied, a newly-opened railway station and exciting plans for future phases, CEG’s flagship scheme is a real example of place-making. What is being planned very much aligns with HTB’s ethos. Having opened our regional development finance office in Leeds in 2018, I’m delighted to see us fund one of the most well-known sites in the City.

“HTB has built a tremendous reputation for uncovering solutions even with the most complex cases. Rather than finding reasons not to go ahead with a case, we instead put great effort into putting together a structure that works for everyone involved. This case is a perfect example of that positive approach in action and will lead to the development of what is effectively a new town, delivering not just homes but work and leisure spaces too.”