Loan Amount: £2,300,000
Finance Category: Development Finance
Existing clients referred some successful property developers to Fox Davidson as they were looking for a development finance broker in Exeter that specialised in development finance in the South West.
The Exeter-based developers had agreed terms on a site with the vendors, but there were a few wrinkles that needed a specialist development finance broker in Exeter to unravel, which is where Fox Davidson stepped in.
The site is located on an old farm with incredible views across South Devon.
Currently, there are several disused barns on-site.
There was already Class Q permitted development planning for the site, but the clients had put in for full planning to demolish and build four detached houses, each built completely bespoke internally.
The vendors had agreed to a deferred land payment as part of their deposit.
Fox Davidson work with over 100 development finance lenders from family offices to high street banks.
Fox Davidson takes pride in knowing which lender to bring into a deal based on their criteria, their appetite for the South West as well as taking account of their fees and charges are all important points in securing the right lender for our clients.
The additional challenges in this Exeter property development finance were the fact that some of the deposit was coming by way of deferment of the land purchase payable to the vendors on sale of units (and behind the first charge lender).
There were a few other points we had to overcome, but nothing that we hadn’t dealt with before.
Fox Davidson worked with a UK development finance lender which had feet on the ground in Exeter.
Having someone with local knowledge who will take a keen interest in the scheme and someone that can come to the site if needed is important to us as a broker and to our clients.
The more involved a lender can be, the less chance we have of any issues with funding further down the line.
This scheme is due for completion in 2022, and we expect the estimated GDV to be much higher than the initial valuation report indicated.
This development will cause a lot of buzz when it is released to the market.
Fox Davidson is an award-winning team of property development finance brokers, securing funding from £300,000 and up to £200m, with offices in Exeter, Devon, Bristol, and London. For property development finance advice, please email firstname.lastname@example.org or call us on 0117 989 7950.