Shawbrook has completed a £10.8 million development exit loan for a luxury flat development in Harrow, North London.
The experienced property developer found sales were slower than anticipated due to market conditions. With only four out of 35 luxury flats sold, the developer needed additional time to sell the remaining units however, their existing development finance lender was unwilling to extend the loan, putting the project at risk.
The client’s broker, PCF Financial Services, contacted the Shawbrook team who visited the site the very next day. Recognising the urgency and potential of the project, Shawbrook expedited the approval process, completing the loan in 12 days.
The loan was secured at 75% LTGDV on a 12-month term with the rate fixed over base rate. The funding allowed the developer to secure the necessary finance and provide breathing space to sell the remaining units.
Jake Sarratt, key account manager at PCF Financial Services, said: “Shawbrook drove this project over the finishing line. It has certainly been a refreshing experience being pursued by the lender for once (and not the other way round!).
“Their proactive approach and dedication have made a significant difference in the success of our project and our clients are delighted.”
Mark Hedley, relationship director at Shawbrook, added: “This partnership perfectly exemplifies the value of our development exit loan and the speed at which we can deliver for our clients.
“Our personalised approach to financing development projects means we focus on the bigger picture, addressing the unique needs of each developer and providing tailored funding solutions for their individual circumstances.”
