LendInvest has unveiled a new development exit finance product.
Interest is charged at 0.7% per calendar month and is available on loans between £250,000 and £5 million.
There is maximum loan to value of 75% and there are no early repayment charges.
In addition, borrowers may be able to retain part of the proceeds from every unit sale
Matthew Tooth, head of distribution at LendInvest, said: “We know that it can be expensive for developers to remain on their development finance loan when they have finished constructing the units, but have not yet sold all of them. We’ve introduced this flexible new product to help experienced developers to move to terms that better suit them and ensure they maximise the profit opportunity from their projects.
“Subject to certain conditions, developers will be able to retain part of the proceeds from every unit sale. This will boost their cashflow and can help with the sale and marketing of the remaining units or go towards starting their next project.”
