OakNorth Backs Joint Venture Between O’Shea and Galliard, With £22.8m Loan to Fund Holiday Lodges at Saltmoore, the New Coastal Luxury Wellness Retreat on the North Yorkshire Coast

OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has provided a £22.8m loan to support a joint venture between two existing OakNorth customers, O’Shea and Galliard.

Founded in 1966, O’Shea Group has grown into one of the largest privately-owned construction and property development companies in London and the South East. Galliard Homes founded in 1992 and led by Executive Chairman and CEO, Stephen Conway, is a leading authority in construction and the development of large-scale mixed-use, residential, hotel and commercial projects. Together, their JV projects have delivered over 13,500 houses across the South East, including 475 apartments at Wickside, Hackney Wick and a further 450 apartments within Baltimore Tower, Canary Wharf.

The £22.8m loan from OakNorth will be used to fund the next stage in converting the historic 19th century, Raithwaite Sandsend Estate. Located between the heather-clad North York Moors National Park, and unspoilt Sandsend beach on the outskirts historic seaside town of Whitby, Yorkshire, the 85-acre site will see the development of 179 luxury villas, lodges and cottages (the Saltmoore Collection). This next phase follows the reimagining and reopening of the estate’s two hotels, Saltmoore House and The Beach House, in November 2024, totalling 78 rooms and suites. The heart of the hotel is the historic hall known as Saltmoore House, where the hotel’s extensive wellness offering state of the art gym and spa, treatment journeys by Wildsmith, cryotherapy chamber, Himalayan salt sauna, and wellness café. Saltmoore House is also home to several eateries including the hotel’s three restaurant offerings led by Head Chef Adam Maddock and Michelin Star Executive Chef, Tommy Banks. The Beach House is the more relaxed coastal themed offering closer to Sandsend Beach which features outdoor tubs overlooking the woodlands. The first phase of the holiday lodges known as the Saltmoore Collection have recently been released by local estate agent, Henderson’s. 

Stephen Conway, Executive Chairman & Co-Founder of Galliard, said: “We look forward to welcoming guests to our new wellness-led sanctuary, located along the picturesque North East coastline. The Raithwaite Sandsend estate has a unique and extensive history, so it is our privilege to be breathing new life into the site, whilst preserving its historical significance to the region. OakNorth once again proved themselves to be a fantastic funding partner – we have worked with the team for years and keep going back as their flexibility, transparency, and entrepreneurial approach is second to none.”

Mark O’Connor, Investment Director at O’Shea commented: “Over the past six decades, we’ve become a respected name in the property industry, with our long-standing relationships with developers, housing associations, and local authorities leading to many successful joint venture partnerships. We were delighted to once again work closely with Stephen and the team at Galliard, with OakNorth being the clear funder of choice given their expertise in the sector and reputation for backing independent property developers such as ourselves.” 

Damien Hughes, Senior Director of Property Finance at OakNorth, added: “This deal presented an exciting opportunity for OakNorth to support two of our long-standing customers with their latest JV project. The combination of the development expertise from both O’Shea and Galliard, alongside the well-renowned hotel management team that have been brought in, will no doubt be core reasons behind the project’s success. The location of the site and abundance of luxury offerings will also be a draw for not just UK staycationers, but international tourists too.”