Purchase and redevelopment of a 2.2 acre plot into a 4-bed detached family home with a detached garage.
**The facility **
£448,067 over 18 months at 10% per annum to assist with the purchase of the property (£150,000), its subsequent redevelopment (£232,125), interest (£55,000) and fees (£10,942).
The lending opportunity
- Expected 9.25% p.a. interest rate paid to lender (based on expected gross rate of 10% minus 0.75% lender fee, pro rated on annual basis).
- Interest rolled up – fixed rate.
- First Fixed Charge, Debenture , Guarantee.
- Four tranches published to Lending Marketplace from October 2016 to April 2017.
**Our credit assessment **
The developers demonstrated a clear track record and relevant experience and the directors held sufficient assets to provide cost overrun and completion guarantees. Our independent, panel-approved assessors valued the site at £275,000 and our Monitoring Surveyor estimated a total fit-out and construction cost of £247,500. In total, the development was expected to cost £640,000 and sell for an estimated £780,000.
10% p.a. gross returns paid to lenders (9.25% net return after fee deduction)
All tranches successfully funded
Property listed for sale in April 2017 for offers in excess of £799,000. The property is currently sold subject to contracts.
Register to start lending to secure, carefully selected developments
Visit our Lending Marketplace to see new opportunities, access full credit summaries, independent third party reports and the resale marketplace.
Please remember that lending places your capital at risk.