Broadwood Capital provides £1.8m bridging loan to Hadrian Real Estate

The property is a converted and extended former primary school in Lenzie, Glasgow, and the loan allows the developers to refinance an existing debt and release funds for Hadrian to use for other developments.

Agreed on a six-month term, the loan was arranged by William Jeens and Niall Crowley of Cap Real Estate PLC.

The developer’s exit strategy rests on the sale of the completed residential units to repay the loan.

Alastair Stanley, director at Broadwood Capital, said: “We were delighted to support the highly experienced Hadrian team with a first-class product that has been well received by the local market.

“The deal really played to Broadwood’s strengths as it required high leverage and had a number of characteristics where a depth of specialist knowledge and an ‘out of the box’ approach was crucial.”

Gavin Fraser, managing director at Hadrian Real Estate PLC, commented: “Broadwood was quickly able to get a detailed understanding of the local market and our product.

“Their property experience and knowledge was fundamental in allowing us to achieve the leverage we required.

“Broadwood’s tailored funding solution allowed us to refinance the existing lender, but importantly released capital, which allows us to progress other schemes to provide much needed additional housing in Scotland and the north of England.

He added securing a development exit refinance at the high leverage point from one lender made the process “much more cost and time efficient.”