• Loan Type: Senior Development Loan
• Purpose: To provide senior development financing for the construction of a surf park
• Term: 30 months (18 months for construction and 12 months for stabilisation, with extension options)
• Special Feature: Flexible term to accommodate the project’s unique needs, along with a significant fund guarantee

Background:
This opportunity involved providing a £31m senior development finance facility for the construction of a surf park on a 15-acre site with planning permission. The surf park will feature a man-made split lagoon, utilising wave-creating technology to generate consistent, high-quality waves year-round. Additional facilities will include 700 sqm of food and beverage outlets, 150 sqm of retail space, and 500 sqm dedicated to other amenities.

The Challenge:
The project required a substantial quantum of senior funding to cover 65% of the loan-to-cost ratio, with the remaining costs covered by equity. The complexity of the surf park’s construction, combined with the need for expert management and a robust financial structure, called for the expertise of an experienced funding partner.

Maslow Capital’s Solution:
Maslow Capital structured a £25m net development loan, providing the necessary senior funding while ensuring financial stability through a substantial fund guarantee from the equity provider. The loan term includes 18 months for construction and 12 months for stabilisation, with extension options. Maslow Capital’s involvement ensured that the project benefitted from expert advice and oversight, mitigating risks associated with the unique asset class and operational complexities.