A client approached us looking for funding for a part-built property development in Preston. Planning was in place for 7x five bedroom houses, which were well sized and located within the area.
The client had funded the build up until the point of enquiry, but was running out of funds and didn’t want to put a stop to construction.
Although the client was fairly new to property development, he had a strong history of project management and a number of transferable skills. On top of this, works to this point were well documented.
Lenders are often put off by part-built developments, due to lack of control over the works that have already been completed, so the client contacted us to put his case across.
The Key Requirements
| Loan Amount Required: | £1,127,715 |
| Proposed GDV: | £2,135,000 |
| Term Requested: | 12 Months |
Solution
We focused our report around the strength of the applicant’s project management experience, the ability of the team around him and the demand for the scheme.
After picking up the case, we were able to issue terms on the same day and submit a full application shortly after. The process moved forward quickly, which allowed the client to continue the development with no delay in construction.
About The Author
This content was produced by our Commercial Lending Director, Gary Hemming. Gary has over 15 years’ experience in financial services and specialises in bridging loans, commercial mortgages, development finance and business loans. He is widely respected in his field and regularly provides expert commentary for specialist trade publications, specialist business press as well as local and national press.
Gary Hemming CeMAP CeFA CeRGI CSP -
Commercial Lending Director
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