Some Developers have recently made the common mistake of thinking that there is no building warranty requirement for refurbishments or conversion projects only for new build. In fact, lenders now insist on a warranty being in place for any conversion or refurbishment where structural work is taking place. It has also been known for lenders to refuse finance even on a conversion where no structural work has taken place.
The rule of thumb now is if you are carrying out works that will convert a building from one type of use to residential or are carrying out major refurbishment works to a residential unit then you need a 10 year building warranty.
Our service is aimed at professional property developers who have the skill to carry out the works to a high standard with a quality outcome.
Short term lending products
The lending criteria is set individually but as a guide we will lend 100% of the construction cost and up to 55% of the GDV (gross development value). Interest rates vary but are fixed for the term of the loan. Arrangement and redemption fees are negotiated on a case by case basis. As we are focused on quality of service we like to meet all our clients at least once before agreeing on a project, once this is done we can usually assure our clients of a lending decision in principle within 48 hours.
We can also assist with bridging facilities usually up to 60% of the value of the asset.
Our ethos is to provide outstanding customer service. Sourcing finance can be a difficult process for a developer and more often than not can result in a negative outcome. We manage the process for our clients making sure they receive the most relevant product available to match their requirements.
Our team has in excess of 20 years’ experience in the UK property sector including development finance, insurance and asset management.
If you would like to discuss any opportunities to work together, feel free to call on 0203 701 0422