The borrower had already exchanged contracts with a long-dated completion in the expectation that planning permission for an apartment scheme would be granted before completion.
If so, this would have enabled the borrower to look for a traditional development finance loan.
However, despite the borrower being a specialist in planning enhancements and development, the planning process was difficult and a decision was still a long way off with the completion date fast approaching.
Ortus provided a bridge for the purchase to allow the borrower plenty of time to receive planning permission and apply for further enhancements.
Ortus and Arc & Co were under pressure to perform as there was the possibility that the seller would pull out.
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The agreement in principle was issued on the same day that Ortus received the enquiry and it instructed the solicitors and valuers 24 hours later.
Ortus worked closely with Charlie Armstrong at Arc & Co (pictured above) and solicitors from George Green to meet the deadline and secure the site.
The £1.8m loan is over two years to allow the client the time required to get the planning status exactly right before looking for a development finance loan.
Commenting on this deal, Charlie said that Ortus had really pulled out all the stops.
“As well as performing under time pressure, the team came up with a great structure.
“By offering a two-year term, my client now has plenty of time to navigate the planning process.”