Manchester Science Partnerships agrees £50m green funding package
Manchester Science Partnerships (MSP), the UK’s leading science and technology park operator, with over 2m sq ft of space across three campuses in the North West, has agreed a new £50m debt facility.
The three-year funding package will be provided at margin discount in line with Lloyds Bank Commercial Real Estate’s Green Lending Initiative.
Under the terms of its loan, which is the first of its kind to be completed by the bank in the North West of England, MSP has agreed to a series of ‘green covenants’.
This includes committing to spend more than £600,000 investment in sustainable improvements to its existing estate, reducing annual energy intensity of all its assets by 3.5 per cent a year and increasing the amount of energy its buildings use from renewable sources by a further 10 per cent.
The new agreement refinances the existing £35m loan agreement for the Citylabs and Manchester Science Park campuses and also includes the recently completed state-of-the-art 70,000 sq ft Bright Building, which is located at the heart of Manchester Science Park.
Tom Renn, Managing Director of Manchester Science Partnerships, said: “In supporting Manchester’s knowledge economy, we are committed to doing so responsibly by offering facilities that are sustainably built and operated. One of the many ways which MSP does things differently, is that we continuously look to new, innovative ways of working with investors and improving how we operate. As part of our long term legacy with CityVerve we will introduce emerging technologies that support the environment and reduce our energy costs.
“Lloyds Bank’s initiative has allowed us to restructure our debt facilities. We are grateful for their help and support as our long standing relationship with them continues. The discount we have been able to access allows us the headroom to further strengthen our assets, particularly as we look to start on site with Citylabs 2.0 & 3.0.”
Allan MacKenzie, Head of Scotland & the North for Lloyds Bank Commercial Real Estate’s Private Groups team, added:
“MSP is tackling environmental challenges head-on and we’re pleased that we can enable it to have an even greater impact as part of its debt refinancing.
“We also have a long-standing relationship with MSP’s largest shareholder - Bruntwood, which is increasing its own focus on sustainability.”
MSP’s Alderley Park Mereside campus is not included within the scope of the refinancing.