UK: The Collective has acquired a site in London’s Westbourne Park, having secured £28.5 million of capital from Cheyne Capital.
The Collective agreed to acquire the canal-side site in July 2019, subject to planning consent, which was granted by Westminster City Council in April 2020. This is the third investment Cheyne has made into The Collective, having previously supported projects in Canary Wharf and Earlsfield.
Designed by RIBA Stirling Prize-winning architects Allford Hall Monaghan Morris (AHMM), The Collective Westbourne Park includes 286 rooms and the development is set to be completed in 2023. The Collective and Cheyne Capital will shortly start reviewing options for development finance to fund the construction stage of the project.
Formerly the headquarters of the Licensed Taxi Drivers Association in Westbourne Park, The Collective will transform the site into “a new west London cultural destination, providing a vibrant, publicly-accessible 16,000 square feet waterside piazza featuring a local dining experience, street food vendors and farmers’ markets, and an inspiring programme of arts and culture-focused events”.
Members will have access to a gym; wellness sanctuary with a pool, sauna and steam room; a cinema and a large community kitchen on the top floor with views across London.
The Collective Westbourne Park will also create a new performing arts space which will be available to use for free by local community groups including Paddington Arts. More than 12,000 square feet of workspace designed for local entrepreneurs and makers will also be provided, with 20 per cent of the space available at discounted rental levels.
Reza Merchant, founder and CEO of The Collective, says: “In addition to allowing us to complete the acquisition of this incredible site, Cheyne Capital’s investment into The Collective Westbourne Park is a further endorsement of the institutional quality of the assets The Collective delivers and continued recognition of our model amongst investors. Our current operating portfolio has proven to be highly resilient throughout the pandemic, with demand underpinned by structural trends that have been accelerated by the pandemic including working from home and a rise in loneliness, giving us the confidence to bring forward game-changing developments like this one from our global pipeline.”
“The Collective Westbourne Park will be a cultural destination for London built upon the foundations of local entrepreneurship and creativity that have historically made this neighbourhood so attractive and soulful. Our development will achieve the highest sustainability standards and our trademark Community Investment Programme will ensure the project has a transformational impact on the neighbourhood for many decades to come,” he aded.
Filippo Alessandria of Cheyne Capital said: “We like to work with world-class partners over the long-term whom we know can be relied on to deliver high quality products. That we are now supporting our third co-living project with The Collective is proof that we have found such a partnership, and we are looking forward to continuing to work together on this exciting development.”
