Bridging Loan Sourced for 9 Apartment Development in Leamington
Our team recently helped secure bridging finance for a client wishing to raise a development facility on a site they were purchasing in Leamington.
With a purchase date already set prior to planning permission being in place, the client was under pressure to get the property purchased quickly, meaning we needed to deliver a solution in a short timescale.
What were the client’s objectives?
The client was aiming to build 9 apartments on the site and needed a development loan to cover the build costs and money towards the purchase.
Issues caused by COVID-19 as well as delays in the local planning office meant that the client needed to source finance quickly, to ensure they didn’t miss out on purchasing the site and losing their development opportunity.
What solutions did we offer?
Our excellent relationships with a range of lenders allowed us to investigate multiple options for this client. We came to an agreement for a facility with one of the challenger banks we approached, securing a development loan to cover the full build of the apartments and 65% towards the purchase of the site.
However, the client was still under pressure from the vendor, meaning we had to source finance quickly to allow the client to purchase the site.
Even though the site did not have the benefit of planning, our expert team sourced a bridging lender to move quickly. This enabled the client to make the purchase within the timescales set by the vendor.
Once the bridging loan was agreed, the client could then go through the planning process without additional pressure from the vendor.
The client is now nearly ready to complete on the development as planning is imminent.
How did we ensure success?
To provide adequate finance within a short timeframe for our client, our expert bridging finance team identified the best lenders from our semi-exclusive panel.
Furthermore, our extended team within the ARMCO. group of businesses assisted the client with a Stamp Duty Land Tax refund and insurance policy, providing a comprehensive solution for our clients’ requirements.
As part of our after-care service, we contacted the client who confirmed they were happy with the service provided.
Bridging loan provided for the purchase and build of a development of 9 apartments
Client needed to agree planning permission, however this was delayed meaning they needed finance quickly in order to purchase the site
Our expert team provided access to the finance required within the needed timeframe