One Heritage Group PLC (LSE: OHG), the UK-based residential developer focused on the North of England, is providing an update on the disposal of Churchgate, Leicester and the refinance of Oscar House, Manchester.

In November 2023, the Group announced that it had exchanged contracts for a sale of land at Churchgate, Leicester. However, following a Rights of Light claim against the development, the contract for sale has been rescinded pending resolution of the matter. The Group will update on progress in this regard in due course.

The Group has successfully refinanced Oscar House, Manchester, repaying the previous debt of £2.7m. An agreement has been entered into with a new lender on similar financial terms and a period of 18 months, to provide adequate funding until all 19 remaining units are legally completed and handed over to purchasers.  The new arrangement allows the Company, as required, to let the unsold units and it is estimated that this would generate maximum rental receipts of £300,000 per annum.

Jason Upton, Chief Executive Officer, commented: “We are pleased to have agreed a financing arrangement on Oscar House which will enable us to also generate rental income if appropriate. It has been a milestone FY23 for the Group as we delivered our first wave of practical completions. We look forward to continuing delivery of our strategy in FY24 and to updating on progress.”