Wembley Park project secures financial backing from three institutional heavy-hitters

 
Oliver Gill
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Quintain stressed how the plans would reinvigorate the area around Wembley Stadium

The firm behind the multi-billion pound redevelopment of the land surrounding Wembley Stadium has announced a vital £800m refinancing, which paves the way for its "new masterplan" for the area.

Quintain, which was last year taken private in a £745m deal by US private equity firm Lone Star, announced it would replace its £425m loan from Wells Fargo with facilities provided by three lenders.

Read more: Lone Star closes in on Quintain after shareholder backing

Wells Fargo will continue to provide funding but will be joined by insurance behemoth AIG in providing a £560m senior facility to Quintain. An additional £240m of mezzanine debt – which ranks behind the senior facility in the event of the business going bust – will be provided by the Canadian Pension Plan Investment Board.

In May, Brent Council approved Quintain's new masterplan for Wembley Park. The plans include the building of a combination of residential and commercial properties. The firm said more than 7,000 new jobs would be created.

Read more: The £1m gap in property prices just eight minutes' travel apart

Eyebrows were raised by the Football Association (FA) when the council gave the go-ahead. The FA said the plans would mean departing fans from the iconic Wembley Stadium would be funnelled down narrow streets. It called them a "receipt for disaster" and create a "kettling pen" on match days.

Quintain's finance director, Simon Carter stressed the importance of the securing the funding. He said it would give "the flexibility we need to deliver our plans to build new homes for London".

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