LendInvest provides £900,000 London refurb facility

LendInvest has secured a £900,000 refurbishment GDV facility for a £1.5m semi-commercial scheme in Buckhurst Hill, east London.

This 18-month facility will fund the share purchase acquisition and heavy refurbishment of the property.

The project involves constructing a double-storey rear extension and converting a detached rear building, expanding the site’s total gross internal area to 329 m2. Once completed, the scheme will comprise a ground-floor retail unit, two high-spec duplex apartments and a standalone two-bedroom bungalow.

To accommodate the complex scheme, LendInvest structured a day-one net loan of £417,000 at 70% LTV, alongside 100% funding for the £358,000 construction budget.

The tailored package maintains a 59.52% LTGDV. The borrower’s exit strategy is to refinance the residential portfolio onto LendInvest’s long-term BTL products while retaining the option to sell the commercial unit separately.

This deal is the first placed with LendInvest by Nascot Advisory.

The lender’s refurb GDV facility allows developers and property investors to maximise borrowing power by calculating the loan limit against the property’s GDV. With the focus on the GDV, this line of finance provides the day-one capital needed to acquire or refinance a project, as well as supplying staged funding to cover 100% of the construction costs.

“Our refurb GDV product is the perfect fit for borrowers who want to take on ambitious projects,” said Michael Minnie, head of sales for bridging at LendInvest (pictured above).

“We are thrilled to complete our first deal with Vishal and the team at Nascot Advisory while continuing our strong relationship with a valued repeat borrower.

“Refurbishment projects of this scale require flexibility and precise structuring, and our £900,000 facility gives the developer the exact runway needed to unlock this site’s £1.5m potential.”

Vishal Dixit, managing director at Nascot Advisory, added: “[LendInvest’s] team understood the nuances of the share purchase acquisition and heavy refurb elements immediately, delivering a flexible structure that met our client’s exact timeline and capital needs.

“Utilising the in-house MS/Asset manager function sped up the process, and completing the deal in 38 days resulted in a great outcome for our borrower.

“We look forward to building on this partnership.”