Loan amount: £875k
The client, who was already an existing customer of One 77, approached us with a new proposal for a site in Hertfordshire. They were an experienced developer with whom we had already arranged a second charge funding for on two previous sites in the Home Counties.
Our Specialist Lending department immediately set to work and were able to fund the deal to 70% LTGDV with a 65% net release on the development land as of day one. We coupled this with a market leading interest rate of 7.9% per annum. Doing this on a ‘Senior Stretch’ loan basis proved a more cost effective option to the client than the range of standard development products (usually capped at 60% LTGDV) combined with a mezzanine facility.
The site was recently completed and the properties sold.
Do you require development finance? For our full range of specialist finance options and products call our Specialist Lending team on 01249 474956.