What projects have you funded recently? Some Loan Examples – January 2022

£170,000 bridge, 12m term, serviced interest

This entailed urgent bridging finance to fund the purchase of a dilapidated building arranged as shops and flats, which were vacant, for improvement and re-development to form 6-8 flats. It was for a newly incorporated borrower/SPV and first-time developer. The borrower’s exit plan was to re-finance onto a large development facility. Location: Cornwall.

£100,000 auction finance, 12m term, rolled-up interest

An auction financed purchase of a vacant, listed, detached, thatched cottage for improvement and repair. The property was purchased via a regional auction house. The borrower, an established private landlord, will improve and let the property, with an exit plan to re-finance into a buy to let. Location: Worcestershire.

£225,000 development finance, 12m term, rolled-up interest

Property development finance for 100% cost of works funding to build a detached 3-4 bed bungalow to a high specification. It was for a ewly incorporated borrower/SPV, first-time developer with past refurbishment experience only. The borrower’s exit plan is sale of the property, currently marketed off-plan. Location: Berkshire.

£400,000 bridge, 12m term, rolled-up interest

Urgent bridge to re-finance a term facility at term-end/in default, secured against a residential property let to a business operating in the care sector. The lease term had expired with only draft renewal terms agreed. The borrower’s exit plan is term finance. Location: Devon.