Newbuild Residential Development
We were introduced to an experienced property developer who had an unusual proposal which required funding.
He had commenced the build of a development of 16 new build residential properties on a very good flat site. The issue was that the site was part owned by a long-standing associate of his and part-owned by a family trust (who had obviously given him permission to build) – both parties had agreed a profit share upon sale of the houses.
He approached us as he wanted to raise funds against the part-built properties and also purchase the land owned by the Trust in order to give him more control of the whole site. The issue here was that the Trust land was “land-locked” by the rest of the site and as such there were issues of access and rights of way which had to be overcome.
With the proposal being strong and the developer being very experienced, we chose a niche lender who spent time to understand both the strengths and weaknesses of the proposal and we worked together to draw up a solution which provided the funding required whilst overcoming the legal issues. A funding package totalling £350,000 was agreed which released funds against the part-built properties, enabled the purchase of the land-locked site and also established a way forward to release further funds as the development progressed.
Overall, a very happy client.