Residential
Which of these scenarios most closely reflects your situation? Remember though that all cases are different and even if you don't exactly match these scenarios, we may still be able to help.
1. You have acquired a plot of land with permission to build on it or
2. You have acquired a disused buildingwith permission to convert it or
3. You would like to purchase one of the above.
You intend to build a number of properties on the site or convert the building into residential units. Once completed the properties or units will either be let out or sold.
Specialist lenders thrive in this market with their predominant interest in London and the South-East. As prime development sites get snapped up, they gradually are expanding their areas of interest.
it is essential that the development is in an urban area, that there is a provable demand for the type of development that you are planning and that you can demonstrate experience on this type of project, either personally or through key members of your team.
Typically, a Development Loan will be for a relatively short period (maximum of 3 years) to cover expenditures during the construction or conversion phase. The lender may wish to take a charge on some other property so as to reduce his risk, the loan could be released in stages according to a plan agreed at the outset and the lender may agree to rolling up the interest.
Ultimately, the intent is to repay the loan from sale of the property or by transferring onto a lower interest ongoing mortgage with a standard commercial mortgage lender as soon as the property starts to yield rent.
If you have a development in mind and would llike advice on just what is available, contact us.