With lenders in the short term sector beginning to diversify their product range to help a broader range of clients obtain the finance they need, here at B&C we have brought you the very best in recent deals that have utilised these new and innovative niche products.

By presenting developers with greater opportunity, the short term industry is providing a much needed finance solution, enabling both new developments to prosper and stalled projects to complete.

This week, we have details of a deal recently completed development by Regentsmead Limited...

Mr. M had worked with Regentsmead for many years and approached them for the funding of a development of three townhouses. The site was located in Surrey and involved the demolition of an existing pair of semi-detached houses. The purchase price was £750,000 with build costs of £400,000 and a projected end value of £1.6 million so there was a healthy profit to be made once sales had been secured. The borrower required funding of £250,000 towards the purchase and the full build costs of £400,000.

The borrower had been looking for a suitable project for some time and was extremely keen on this scheme as it was an area he knew exceptionally well. Mr. M commented: “I have primarily developed in and around Surrey as this is a part of the world which I know and I understand the local market. It is important to focus on what people are looking for which is quality housing at realistic prices which is what I strive to achieve.”

Mr. M had previously borrowed from two well-known high street banks and he did approach them for this project given the rates they have previously offered him. Despite his capital input and substantial experience he was amazed to learn that neither was prepared to support him due to their current lending policies towards the development sector.

He immediately approached Regentsmead and funding was agreed within 24 hours. Nick Warren, who Heads the Lending Division at Regentsmead, said: “We have dealt with the borrower for numerous years and he has always demonstrated a high level of workmanship whilst completing the development within a short timescale. We were very pleased to immediately agree a facility for him given the security involved.”

Mr. M added: “I have always found Regentsmead’s attitude to be extremely positive and they have provided invaluable financial advice on schemes I have been considering and have enabled me to purchase lucrative opportunities without any of the headaches that I have previously experienced with other lenders. They are the only lender who I trust to deliver in this market as I know that unlike most lenders they do exactly what they say they are going to do.”

The deal is to be completed imminently.