A network for property professionals is set to deliver a £1 billion boost to the sector with the launch of an online portal for development funding.

Last week, the UK Property Professionals (UKPP) officially launched its portal – a database of lenders from across the UK – which assists those looking for investment opportunities from £100,000 up to £50 million. Major private lenders in all key cities, offering a combined lending power of over £1 billion.

The official launch of the portal at the “Enter the Deal Room” expert forum was sponsored by and hosted at the offices of commercial law firm Dundas & Wilson.

Funding continues to be a key area of concern for professionals working in London’s property market; the forum aimed to solve this problem by bringing together a panel of active funders and investors looking for opportunities.

Presented in a creative and interactive format, the forum gave developers and agents a platform to pitch their projects to the funding panel.

 
The Panel: Jim Nash, Sales Manager at Omni Capital; James Bloom, CEO of Regentsmead; Victor Librae, Business Development Director at Urban Exposure.

Jim Nash, Sales Manager at Omni Capital, observed: "At a time of seriously constrained liquidity, it is refreshing to be part of a forward-thinking process that so imaginatively matches willing lenders with those in search of funding.

"Representing a leading provider of bridging finance, I was impressed by the interactive nature of the event and the level of interest shown by the attendees. Given their diverse range of involvement in the property sector, it certainly went beyond the usual networking opportunity.

"As a result, Omni Capital has secured some interesting contacts and proposals that I'm hopeful will develop into something more concrete. Full marks and my thanks therefore to Mark Antscherl and London Property Professionals for delivering something innovative and certainly a little bit different."

Panel member James Bloom said: “Regentsmead was delighted to be on the panel at this prestigious event and we are very pleased to be associated with the London Property Professionals. The venue was superb and the discussions during and after the event were very meaningful. They showed there is clearly a real lack of mainstream finance and the niche lenders are filling the void. The deal room is a very exciting innovation and one we are looking forward to being involved with.”

Attendees pitched live deals to the panel to see whether they’d be able to facilitate funding, and at what cost and term, on a range of deals and scenarios.

One example was a 105-acre site in Kent for which a client was looking to secure a loan on 40-acres on the site. Planning permission was pending, which meant that one lender said that it decline the deal straightaway, as a result of the planning permission not having been secured and there being no exit. Another said that they funded on deals like this on a regular basis and the final panel member was refreshingly honest, stating that his firm would lend the money but would be rather expensive in this particular instance.

One of the brokers from the day, Chintu Shah, Director at Di-Mot Limited, thought the quality of the panel and location were great. He stated: “There was a very good quality of alternative funders who were there not to waste your time and told you instantly whether a deal is right for them. The funders covered a vast range of transactions and I hope to do some business with one or more in the near future.”

“I liked the ‘Dragons Den’ type format of the event”, explained Victor Librae of Urban Exposure.

He added: “The audience was a good mix of pre-qualified developers - from Hadley Property Group that we are already funding, to good calibre potential new clients with active projects. I was able to offer advice on the larger projects that were pitched, outlining the broad criteria and terms that Urban Exposure offers. The event highlighted the creative new ways for developers to finance residential development in the market today, and the burgeoning appetite of non-bank lenders such as Urban Exposure.”

Mark Antscherl, the Founder of the UKPP network and the new website, UKdealroom.com, said: “I was delighted with the response of the event, one which marked the official launch of the UK Deal Room platform. The site is now live and the venture acts as an interface for property professionals seeking finance and private investors and lenders looking to fund projects. It is now open to all UKPP members.

“Each lender has its own specific lending criteria, and combined they offer a comprehensive range of private finance, including bridging finance, development finance, mezzanine finance and joint venture project funding.

“We have hosted over 100 events to date now and will be extending the network to a further five cities in due course. The network currently boasts a staggering 10,000 online members, making it the fastest growing property network in the UK.”