Catalyst launches ground up development finance

Catalyst has announced its entry into the ground-up development finance market, launching a new senior loan product designed to meet growing demand for higher leverage on smaller-ticket projects ranging from £250,000 to £5 million.

The new product offers up to 85% Loan to Cost (LTC) net of interest and 70% Loan to Gross Development Value (LTGDV).

Interest rates start from 6.50% + BBR (variable) or 10.50% p.a. (fixed), delivering a competitive solution that supports developers’ cash flow and enhances profitability.

Chris Fairfax, CEO of Catalyst, commented:

“We understand the funding challenges developers face when trying to bring their visions to life.

Our new senior development finance product has been created specifically to provide the leverage needed to unlock opportunities and drive growth.

With competitive pricing and flexible terms, we’re committed to helping developers succeed.”

Catalyst’s move into development finance is backed by an experienced team with deep sector expertise and a pragmatic approach to underwriting.

The lender aims to build long-term partnerships with brokers and developers, offering efficient service and collaborative deal structuring.

Anna Bennett, Marketing Director at Catalyst, added:

“Ground-up development finance is one of the most frequently requested products from our broker network, so we’re excited to bring this offering to market.

We’re currently focused on supporting experienced developers with urban residential schemes of 1 to 15 units across England and Wales.

This funding will play an important role in addressing housing shortages and enabling the delivery of smaller, affordable developments.”

FOLLOW ON GOOGLE NEWS