cohort capital

Cohort Capital completes £8.5m development exit loan

Cohort Capital has completed an £8.5m development exit loan for a regional developer, secured against a newly completed scheme of 45 affordable homes in Godalming, Surrey.

The facility — agreed at 70% LTV at a rate of 9.6% over a 12-month term — enabled the client to refinance their existing development finance debt, allowing them time to market the apartments to achieve best value.

The lender was also able to ensure the relevant build warranties, quality of product and marketing strategies were all in order.

The deal was part of Cohort Capital’s successful performance in Q1, which saw it originate £42m of lending.

Matthew Thame, founder of Cohort Capital, said: “This is a well-located residential scheme appealing to first-time buyers and ‘London leavers’.

“The developer has delivered a collection of much-needed high quality and affordable homes, some available through Help to Buy. 

“These properties will be a huge hit for the first-time buyers, who are leaving the capital to buy homes elsewhere in the country. 

“Following alternative working from home methods, London has seen a mass exodus of young professionals who now have the real opportunity to own a property, where they can work remotely."

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