United Trust Bank (UTB) is providing £15 million of development funding to support the construction of 32 luxury 1, 2 and 3 bedroom luxury apartments in a popular South-West coastal town.
The £23 million scheme is phase two of a high specification development being constructed on the site of a former hotel with uninterrupted sea views. The borrower is a long standing entrepreneurial developer who has established a reputation for creating unusual, high-quality homes in outstanding coastal locations.
The borrower is vertically integrated including an in-house groundworks team and working with several subcontracting teams throughout the build, often companies they have worked with before and will employ on future projects. This close relationship with the construction teams helps to ensure that schemes are completed on time, budget and to a very high standard.
Phase one of the development, comprising 39 units, is now complete and achieving a lot of interest. Many of the new apartments sold off-plan to owner occupiers and investors looking to take advantage of the strong demand for holiday accommodation in the area. This success, together with a demonstrable track record of delivering other high demand developments, gave UTB the confidence to offer the £15m of funding required to a new-to-Bank customer.
|Construction of 32 apartments being phase 2 of a luxury development in a sought-after coastal town
|New to Bank customer
Mezzanine lender injecting £1.9m
Vertically integrated delivery model