It can be a new-build, refurbishment or a conversion – finance is available.
Finance is available whether you are building a block of apartments, an estate of individual properties, an industrial unit or even a shopping precinct. In these situations financiers use the development as security and lend in stages so that in theory their security is enhanced as they drip-feed money into the project.
- Up to 100% of building costs covered
- Advanced in agreed stage payments
- Up to 60% GDV
- Interest and fees “rolled up” and paid on completion
Lenders will want to identify an exit route at the outset and would generally look to offer facilities for between 3 – 24 months. Repayment is usually achieved either from sale of completed units or conversion to a long term loan to be serviced perhaps from rental income.
Projects would normally be undertaken by experienced developers with a proven track record and stage payments made against certificates issued by and architect / QS.