Former directors of the defunct coliving company The Collective have created a new development company to fully imagine the former organization’s plans.
The Collective Chief Operating Officer Neil McLeod and partners Dom Butler and Russ Beresford have created a new firm called Halcyon, where it will take over three projects that were being constructed by the coliving company.
The Collective’s Associate Director of Development Nik Dyer, Associate Director of Construction Kieran Devenish, Senior Development Manager James Knight, and Head of Planning Harry Manley have also joined the company.
Halcyon will develop three projects in the UK, including a 222-room development in Harrow , a 315-room project in Earlsfield, and a 270-room project in Battersea on behalf of DTZ Investors. All three developments are expected to open in 2022 or 2023.
Six of The Collective’s assets are expected to be taken over by lenders to the firm. GCP Asset-Backed Income Fund, one of the lenders, provided a look into why the coliving operator collapsed to begin with.
“In May 2021, our loan to a coliving developer and operator breached a liquidity covenant, leading to the coliving group appointing a large investment bank to run a sales process,” the lender said. “This was considered the optimal process for the lenders due to the upcoming working capital requirements of the coliving group, principally as a result of their large development pipeline.”