During the last three years the residential development market has become better served by sources of debt capital.
The mainstream banks continue to provide conservative loans to long-established borrowers. The majority of the market favour the balance of cost and equity shortfall offered by debt funds and increasingly challenger banks. Commercial projects are typically forward-funded or conditional upon the security of a pre-let or pre-sale although speculative schemes can be considered.
An average of over £250m of development funding placed annually during the last three years
Senior, stretched senior, whole loans
Especially strong relationships with large debt funds
Highlights include a combined £150m loan between two multi-unit London residential development loans
Clients range from recently formed companies to major developers, institutional funds and regional housebuilders