Amber Infrastructure secures £9.6 million investment for The Haymarket Development, Edinburgh
Amber Infrastructure Ltd (“Amber”), the leading sponsor and manager of social and economic infrastructure projects, announces that the Scottish Partnership for Regeneration in Urban Centres (“SPRUCE”) fund will invest £9.6 million to part fund the preliminary phase of works at ‘The Haymarket’ development in Edinburgh.
As the only lender in the project, SPRUCE – the Amber managed fund which offers loans to regeneration and energy efficiency projects in 13 local authority areas in Scotland – is providing the 3-year loan facility to Edinburgh Haymarket Developments Limited. In partnership with the SPRUCE fund, the UK construction and services support company Interserve Plc, has committed the remaining funding for the preliminary phase of the development.
Edinburgh Haymarket Developments Limited has commenced the engineering works required ahead of the development of 650,000 sq. ft. of commercial real estate on the site. This is the first stage in the multi-phase construction period, which will provide a mixed-use development delivering office, hotel and retail space. It has the potential to create 3,500 jobs.
SPRUCE is part of the Joint European Support for Sustainable Investment in City Areas (JESSICA) programme which is being rolled out across Europe with the assistance of the European Investment Bank, offering a unique opportunity for public and private co-investment in regeneration and energy developments.
The £50 million fund, which uses capital from the European Regional Development Fund and Scottish Government, has now deployed £30.6 million in a wide range of regional projects from infrastructure to development of office and commercial space. The investment timetable for SPRUCE remains on track to be fully deployed by the end of December 2015.
Deputy First Minister of Scotland, Nicola Sturgeon, said: “Significant city centre developments such as this one are central to stimulating economic growth across Scotland. It is vital that we support opportunities for new business to help create new jobs and also encourage inward investment to Scotland".
“The Scottish Government’s investment through the SPRUCE fund has acted as a catalyst for the regeneration of this site. Without this investment crucial remedial work could not go ahead.”
SPRUCE is one of three Amber JESSICA funds under management, making it the European market leader in investing JESSICA public funds for a financial and socio-economic return.
Cameron Cook, Head of Origination for Amber Infrastructure in Scotland, said: “This is an exciting phase in the development of one of Edinburgh’s largest commercial development projects in the last ten years. We are delighted to realise SPRUCE’s funding ambitions in helping to develop social and economic infrastructure in Scotland. It demonstrates Amber’s unparalleled JESSICA fund management expertise and our growing presence in the region. We are committed to investing in regeneration and energy efficiency projects that will provide long-term benefits to local communities throughout Scotland.”
David Westwater, Development Director of Interserve, welcomed the first construction phase of The Haymarket development, “We are pleased that the SPRUCE Fund is investing alongside Interserve in this exciting project. Its backing underlines that this is one of the most significant regeneration schemes in the UK outside of London and is already well supported by the business community.”
For further information:
Amber Infrastructure Limited
Cameron Cook +44 (0)131 200 6028
Erica Sibree +44 (0)20 7939 0558
Ed Berry / Mitch Barltrop +44 (0)20 7269 7297 / +44 (0)203 077 0439
Amber Infrastructure Group (Amber) is a leading international infrastructure specialist, providing asset management and investment advisory services in respect of over £4.5 billion of assets in the UK, Europe, Australia and North America. Amber’s core business focuses on sourcing, developing, advising on, investing in and managing infrastructure assets within the utilities, PPP, transport, renewable energy and regeneration sectors.
Amber provides investment advisory services to International Public Partnerships Limited as well as private investment funds, specialising in urban regeneration and energy efficiency. Amber is headquartered in London with offices in Edinburgh, Munich, Sydney, Melbourne and San Francisco and employs approximately 70 people, making it one of the largest international infrastructure specialists.