Building for the future
Are you are in the building trade or do you make your living from property development and refurbishment? If so then we have some excellent news. Funds are still available for good quality development projects and if your project meets lender’s criteria, we can help you source development loans from £50k up to £20+ million.
Property development can be a complicated business. Therefore, a successful property developer needs to start with a good plan. Getting the right finance in place is a crucial part of that plan and essential to the success of any development. However, the availability of funds for new construction projects is continuing to grow and strengthen. We now deal with 40+ banks and other lenders across the development lending spectrum and every one of them actively looking to support new good quality property development projects.
Key underwriting requirements for property development finance:
- We can help finance all types of residential property developments including houses, terraces, mews, flats etc
- Applications should show evidence of strong demand for property in the local area
- If you are planning to keep some of the properties after the development is complete, then you will need to have a long-term re-financing plan already in place.
- Mixed-use and commercial schemes can be supported where proof of strong local demand can be demonstrated
- The borrower or main contractor should have a good CV and demonstrate experience and success in the sector
- Developments must show sufficient return. As an adequate level of profit covers any future fall in the gross developed Value (GDV) of the project
We can typically arrange loans of up to 70% of the estimated GDV of a project. However, if you are an experienced developer and can provide additional security, then we can often source loans of 100%. This funding can then cover site purchase, development and finance costs. We can also secure mezzanine finance to provide additional ‘top up’ funding where it is needed.
There is an ever-growing range of property development and refurbishment loan products available to developers. The challenge is to find the product that best suits your particular needs and circumstances. That is precisely where the services of a specialist broker such as Fusion Finance can make all the difference. Firstly, we bring expertise along with access to the wider lender market including private banks and funds. Secondly, we aim to find you the best funding for your particular circumstances. Finally, our help and advice are impartial, in confidence and given without obligation.
Please contact us today to see how we can help you or submit an email enquiry, and we will get back to you.
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