We are pleased to have agreed and completed on a £925,000 enhanced planning bridging facility for the purchase of a 250-year lease of a property in Nottingham. The facility, which we listed on our Lending Marketplace in March, was funded in less than an hour and will earn lenders an attractive 9.25% p.a rate of return.
The property is located in central Nottingham and sits on the first floor above commercial premises. The site already has planning permission for 15 large apartments and the developer expects to submit an enhanced planning application for 46 studio flats on completion of the lease purchase.
The £925,000 facility consists of an £825,000 first charge loan and £100,000k mezzanine loan over a period of 12 months. The initial £788,626 drawdown will go towards the purchase of the property, associated costs and our arrangement fee and repayment of the loan is expected to come via a conversion of the original facility to development finance or potential sale to another developer.
We are currently assessing a number of new lending opportunities offering returns of 8.00% - 9.00% p.a. To find out more and be notified about new loans on our Lending Marketplace, sign up to become a registered lender.
Please remember that lending places your capital at risk and you may not get your money back if the borrower defaults.