Development Exit Finance – Buy Out of the Receivers

One of our professional introducers introduced a client to us needing to refinance a development facility that has run its course, The current lender has called in the loan and needs to repay them within a short space of time or may risk losing altogether. The security consisted of2 plots with Planning permission for 6 apartments, 4 large apartments and 7 townhouses Valued at £850,000, the client also offered additional security to make the deal work for the new lender. The refinance was under a strict deadline, adding pressure to secure a suitable funding solution promptly.

Our extensive network and deep understanding of development exit property lending allowed us to identify a lender who was not only willing to refinance the existing commercial loan but also able to release the money to repay the existing development lender. Furthermore, we negotiated a highly competitive interest rate that aligned with the client’s financial goals.

The solution resulted in a £900,000 loan on a 12 term on month term giving the developer time to arrange the development finance, we were able to obtain a rate of 1.167% per month. This arrangement enabled the client to efficiently pay off the existing lender, stabilising their financial position and securing the long-term profitability of their asset.

This case demonstrates our capability to navigate complex lending scenarios and deliver tailored financial solutions that meet specific client needs, even under challenging conditions.