Property Development Finance - London

£25 million for 100% development property finance (speculative)

Our client required 100% development finance for a phased 48-house development property in this prestigious London suburb. The projection was showing a 20% return on costs. Rather than arrange a typical structured package with different lenders (senior debt, mezzanine and equity) requiring inter-creditor agreements and three different sets of solicitors, we were able to bring a lender new to the UK market which was able to fund the whole development under one facility. The package we put in place allowed the developer to keep 55% of the profit with the lender taking a 45% priority return.

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