Case Study Property
Development Finance for Modern Methods of Construction
Our client is an experienced contractor and developer with a large property portfolio made up of BTL's, refurbishments and conversions. The client required a development loan for a project consisting of four dwellings.
This project made use of Modern Methods of Construction by utilising timber frame construction. Although our client is an extremely experienced developer with a substantial portfolio, this was his first project utilising MMC methods. MMC is still relatively new to the lending market with many lenders still very cautious about supporting the sector. This has meant fewer lenders and possibly higher rates which sometimes means its harder to find finance at competitive rates.
We were able to place the case with a lender from our panel who took a flexible view on the MMC aspect of this case. We achieved competitive market rates or our client who went on to build four executive homes with a GDV of £1.3 Million.