Cracknore Investment secures loan for waste-to-energy facility
Plans for a new waste-to-energy facility near Birmingham have been boosted after developers secured a new round of funding.
Cracknore Investment has agreed a £3m loan deal with Broadwood Capital, which it has used to acquire a vacant 20-acre industrial site in Hams Hall.
It plans to build a new waste-to-energy facility there for which planning permission has already been granted, with construction expected to start in the next 18 months.
Once operational, the plant will collect domestic waste and transform it into electricity which will ultimately be fed back into the national electricity grid.
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Cracknore board director Ian Steer said: “Properties like Hams Hall are notoriously difficult to finance due to specialist consent and the undeveloped nature of the land.
“This was a very complex transaction and Broadwood understood the fundamentals and risks of real estate where other lenders fell short.”
Broadwood offers loans of up to £10 million to support experienced investors and developers on more complex projects or requiring a bespoke product.
Founder Dan Smith added: “There was a specialist planning agreement for an energy-from-waste facility and many complexities surrounding the site that required detailed understanding and a bespoke loan solution.
“Cracknore is best in class for assets like this and we have worked closely with their highly experienced team to provide a flexible lending solution that allows them to move forward with their business plan. .”