Luxury bungalow development goes ahead after Holme Bridging Finance (HFBS) approve a total of £75,000 to move the development to completion.
Having paid cash for the land and funded the footings and block work to this point the developer approached HFBS for a bridging loan of £30,000 to progress the development beyond its completed DPC level to a watertight shell.
Once watertight HFBS were approached to arrange a second account of £45,000, registered as a second charge behind the existing first charge, to take the property to completion and sale.
Dan Yendall-Collings at HFBS says:
“With this deal coming in two parts, beginning with little more than a built outline of a property, we did require the confidence in knowledge that the development was on track and would ultimately be saleable at the various stages of development. Once we received favourable valuations at each stage, and confirmation of the projected sale price of up to £325,000, we were confident in giving the go-ahead.”
The first charge loan of £30,000 was offered at 1.45% rate over 12 months which HFBS completed within eight days. The second charge of £45,000 was completed within a record breaking three days.