Development Finance
Development Finance and Construction Funding
Positive Commercial Finance is the specialist broker for Development Finance and Construction Funding. We can facilitate development funding of up to 100% of the land purchase costs and up to 100% of the property development costs (additionally security may be required). This is typically between 70-85% of the total project costs but is assessed on a case by case basis. Highly geared Development Finance can be sourced from a specialist property funder or by using a Senior Debt Lender such as a high street bank in conjunction with a Mezzanine Property Finance funder - the two combining to achieve 100% property development finance.
Joint Venture Schemes - 100% Property Development Funding with NO LIABILITY!
Positive Commercial Finance can facilitate 100% property development finance with no liability for the developer. This scheme is funded with 100% investor equity and there is no interest to pay or loans to repay - it is essentially risk free. 100% of all costs are paid. The developer takes 40% of the profits with 60% going to the equity providers. The funds that can be provided fall in the £2m and £7m range. Minimum return on costs requirement is 33%. This is an excellent scheme provided by a recognised funder. Geographical restrictions apply.
100% Development Finance – Short Term Schemes
We pride ourselves on our flexible property development funding solutions and together with our provision of specialist property funding for short term property transactions, we will do all we can to help you grow your business. 100% Property Development Funding can be arranged for short term projects (typically up to 18 months). This short term 100% property development finance funding can be arranged quickly and can help property developers move fast to gain a competitive advantage over other property developers.
- Minimum loan amount is £25,000
- Terms from 1 month up to 24 months
- 1st and/ or 2nd legal charge required, dependent on the proposal
- Directors Personal Guarantees may be required
Property Development Funding – Large Loan Schemes
Positive Commercial Finance can also arrange development funding on our Large Loan Scheme. The Large Loan Scheme may include conventional and unconventional funding by the use of structured finance, debt, equity and private placement.
Property Development Loans are available for Residential Developments, Residential Refurbishments, Residential Conversions, Mixed Residential/Commercial Schemes, Residential Bridging and Commercial Schemes. 100% funding is available for all the above types of property development finance provided additional security with sufficient equity can be offered.
Interest can be rolled up, where the interest is not paid monthly but added to the loan and paid at the end of the development.
Interest rates for property development finance facilities would depend on the development, the builders experience and the amount of capital introduced to the development by the applicant. The higher the lender considers the risk, the higher the interest rates will be. The higher the loan to value the funding is, the higher the cost. Pre-sales may help reduce the cost of borrowing.
- Loan sizes up to £750m for development finance.
- Long term loans up to 10 years are available
- 1st legal charge is required for development finance facilities.
- Directors Personal Guarantees may be required.
Pick up the phone now or send us an email to outline your proposal or request for development finance – we will give you a no obligation development finance quote within an hour, subject to us receiving the relevant/ requested information.
For a quick quote click here and then please fill out the enquiry form.
