Development finance for an incomplete project

CONTACT CALLUM

THE SCENARIO

OUR SOLUTION I knew this would require a specialist lender. Fortunately, Enness has an extensive panel of lenders and access to exclusive products so I was able to secure my client a development loan as opposed to a bridge. The gross development value of the plot was £2.84million, and she needed another £450,000 to finish the development and begin the process of selling it on. I was able to secure her a first charge loan over the original £400,000 and also secure her the additional funds she needed to finish the product. The rate for this was 8.5% a year, which may seem high—however, securing a development loan for this sort of case is extremely unusual, and this solution meant she was able to sell on the development and make a profit.]]>