British co-living operator and developer The Collective is adding a fourth property to its portfolio with the acquisition of a site in Westbourne Park, London.
The company has secured £28.5 million of capital from Cheyne Capital, who has previously supported the group’s two other London properties in Canary Wharf and Earlsfield. The group’s fourth property is located in New York City. The Collective had agreed to acquire the site in 2019 and was granted planning permission in April 2020. The project is expected to be completed in 2023.
Reza Merchant, founder and CEO of The Collective, said: “In addition to allowing us to complete the acquisition of this incredible site, Cheyne Capital’s investment into The Collective Westbourne Park is a further endorsement of the institutional quality of the assets The Collective delivers and continued recognition of our model amongst investors”.
The Collective’s model is based on some of the major trends that are expected to lead the recovery of hospitality post-Covid: hybrid uses (co-living, co-working, serviced apartments), a focus on wellness, locality, and sustainability.
The West London property will include 286 rooms and a broad range of shared spaces such as a gym, wellness space, a cinema, a community kitchen and a performing arts space which will be available to local community groups. The canal-facing outdoor space aims to become a local destination featuring a local dining experience, street food vendors and farmers’ markets, and a programme of arts and culture-focused events.
Alongside the focus on social impact, a heavy emphasis is placed on environmental initiatives. The property will be rated as ‘BREEAM Excellent’, will use sustainable technologies and encourage members to use environmentally-friendly modes of transport.