The Transaction
In 2020, ASK lent £8.9m to a joint venture between Hadley and Clarion Housing Group to support a major planning-led strategy for the redevelopment of an operating Homebase store on a 2.5-acre site in Streatham, South London.
Project details
The borrower’s plan was to obtain planning permission for a residential scheme on the site and then exit via a sale. The planning process became delayed due to the pandemic and ASK provided a new facility allowing the borrower to continue to pursue consent. Committee approval was given in March 2024 for 237 new homes (35% affordable) and a new GP surgery alongside landscaped public space. In June 2025 the site was sold with consent to a national housebuilder.
Why ASK backed it
ASK aims to back experienced parties; in this case, Hadley is a specialist in residential-led regeneration and Clarion is the UK’s largest housing association. There was a clear strategy for the project, to exit with a sale, but the option to build out as a fallback lowered the risk metrics. Both parties had committed significant equity to the project, and the loan to value ranged from 49-55%. In addition, rental income from the Homebase lease provided servicing capacity for interest payments.
A successful partnership
All parties worked closely to achieve a successful outcome. ASK offered a flexible loan structure whereby interest switched between cash-paid and accrued to match planning and sales milestones. The facility was extended rather than restructured in 2023 to allow the borrower to conclude planning and realise the uplift. The loan was repaid in full following the sale of the consented site.
Andy Portlock, CEO of Hadley, said:
“ASK understood from the outset that planning-led projects take time. Their flexibility and support allowed us to navigate the planning process and ultimately deliver a consented scheme that unlocked real value. It felt like a genuine partnership.”
Doug King, Co-founder and Director of ASK Partners, said:
“Hadley and Clarion are exactly the type of partners we want to support, experienced, credible and committed to delivering high-quality schemes. At Streatham, our role was to provide the flexible capital and patience needed to see the planning journey through. We’re proud to have backed the team, helped unlock a major consent, and delivered a successful outcome for all parties.”
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Contact
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