Quick decisions help a developer to complete on land purchase
United Trust Bank was approached by a well-respected local builder/developer to fund the purchase of a site on a private estate within a sought after M25 town. The 1.75 acre site had planning consent for a 4,500 square foot, 5 bedroomed detached house and would be a superb individual property.
The clients were about to exchange contracts on the purchase of the land so a site visit and meeting was quickly arranged. Within one week of the borrower’s broker contacting us, credit committee approval was obtained and a loan offer was issued. Our offer of funding was accepted by the developer and the due diligence process carried out quickly and in time to meet the borrower’s original completion date.
The loan provided 55% of the site purchase cost and 100% of the construction cost with interest added on top. The £960,000 advanced was 55% GDV