Paragon backs Kelham Island apartment scheme

A Sheffield residential and commercial development is set to move forward after securing a £5.32 million funding facility.

Paragon Development Finance has provided the 22-month facility to support Catherall Developments Ltd with the delivery of Kelham Exchange, a new scheme on Acorn Street in Kelham Island.

The project will include 43 private tenure apartments, made up of 31 one-bedroom and 12 two-bedroom homes, alongside four commercial units.

The development has a gross development value of £8.248 million, with Paragon providing funding at 65 per cent loan-to-value.

Works are already under way on site, with the apartments designed for contemporary urban living and aimed at residents and investors seeking high-quality, well-connected city centre accommodation.

Matt Catherall, owner of Catherall Developments Ltd, said: “Kelham Island is an area we know extremely well, and we are excited to be bringing forward another high-quality development in the neighbourhood. 

“Kelham Exchange has been designed to meet demand for modern, well-specified apartments in a part of Sheffield that continues to grow in profile. 

“Paragon has taken the time to understand the scheme, the location and our track record in the area. 

“Their support gives us the funding certainty to progress delivery and continue investing in Kelham Island.” 

Kelham Island has become one of Sheffield’s most distinctive residential neighbourhoods, evolving from its industrial heritage into a popular cultural, leisure and living destination.

Catherall Developments specialises in residential projects across South Yorkshire and Derbyshire and has completed more than £50 million of residential property in Kelham Island.

The deal, led by Craig Seaborne, senior portfolio manager, and Anisha Thawrani, portfolio manager, marks Paragon’s first transaction with Catherall Developments.

Craig added: “Kelham Exchange is a well-located scheme in one of Sheffield’s most distinctive residential neighbourhoods. 

“Kelham Island has seen significant regeneration over recent years and continues to attract demand from residents and investors seeking high quality, well-connected city living. 

“We are pleased to support Catherall Developments Ltd on this project. Matt Catherall and his team have strong experience in the local market, with an established track record of delivering residential schemes in Kelham Island. 

“This is exactly the type of experienced regional developer we are keen to support.” 

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