Islington Square development on track thanks to £190m loan

The old post office facade in Upper Street

The old post office facade in Upper Street - Credit: Archant

A £190 million loan has been secured to finance the massive Islington Square development of shopping, leisure and homes.

Private investment company Cain Hoy and its joint venture partner Sager Group secured the loan to finance its £400m scheme at the site of the former North London Sorting Centre off Almeida Street.

It is set to be completed in 2017.

According to the companies, Lloyds Bank and Investec have agreed to finance the project, which they claim will bring more people to Islington.

Giris Rabinovitch, chief executive of Sager Group, said: “With its central location, excellent transport links and unique atmosphere centred on the exceptional range of leisure, shopping and food options along Upper Street, N1 is already a highly regarded destination.

“The arrival of Islington Square will only serve to make it even more popular.”

Jonathan Goldstein, chief executive of Cain Hoy, said: “As we prepare to launch the residential element of the scheme, we are pleased to have secured this financing which recognises the rare nature and exceptional promise of this prime site at the heart of Islington.”

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The Islington Chamber of Commerce also expressed its support for the scheme.

Chairman Hak Huseyin said: “Islington Square is a grand building in the heart of Islington. We welcome the investment into a mixed used scheme, with leisure, retail, luxury apartments as well as affordable housing.

“We are looking forward to seeing the plans to the final scheme and hope that it will retain the beauty of the building.”