Property development finance is a solution required for property developers to fund the construction of a project, be it for new developments or the conversion and refurbishments of residential or commercial land and property. This type of finance is usually in the form of a short term loan, although there are an increasing number of options available on the market to meet your requirements.
Time is often of the essence when it comes to property development, so in order to create the best possible funding solution for a project, you will need to move fast.
Property development finance usually comes in the form of a short-term loan, which can be broken down into two parts. The first part is designed to help you with the purchase of a site, and in many cases, a lender will advance a percentage of a purchase price and leave you to fund the remaining amount (although lenders vary on this point).
The second part of the loan is to finance the build of the project. Generally speaking, a lender will often advance the total cost for this in stages, as and when they are completed. The lender will then certify the work and funds for each stage so you can pay suppliers. This means you will often need to have sufficient cash flow to fund the initial stages until you are reimbursed.
With experience in arranging everything from market leading senior debt, competitive equity and specialist products for challenging plans, we can access many opportunities that simply aren’t available on the high street. With connections at every level of the market, we will be transparent and efficient in sourcing the best lender and terms for your circumstances, whether you are a first time developer or major firm.
Our advisers are on hand anytime to discuss feasibility, structure and timescales.