Property firm completes £17m deal for ‘luxury’ Newcastle development

A Newcastle-based property specialist has completed a multi-million pound deal for a new development in Gosforth.

Lok Developments has completed a £17m refinancing deal for its new ‘luxury’ property project on the site of the former Sanderson Hospital.

Formerly home to a Victorian children’s hospital founded by Newcastle philanthropist W J Sanderson, the three acre site has been vacant for almost two decades.

Lok Developments, which is part of Morton Group, acquired the site in June 2019 from the NHS.

Known as Sycamore Square, the new residential development will create 23 new houses and 14 apartments centred around a green central space near Gosforth High Street.

Comprising a mix of four and five bedroom detached homes, the project will include two bungalows, four bedroom townhouses and two bedroom apartments. Enabling work has begun onsite with completion scheduled for Autumn 2021.

Gary Morton, Group CEO of Morton Group, commented: “This £17million refinancing deal represents a tremendous achievement by Lok Developments.

“It has taken a monumental effort from our team and our partners and it is an extremely positive sign of what can be achieved in the midst of a global crisis.

“We are grateful for the continued faith that our finance partners have in us, and we have great confidence in the development, location and future demand in the housing market.”