Inspired Lending has completed a £1.2m development exit facility for a property developer against a newly converted terraced house in Fulham, with the loan written at 70% loan-to-value.
The lender said the security comprised a terraced property that had been extended and converted into two self-contained flats under planning permission.
Both units had been completed and brought to market by the time the loan completed, with one already under offer.
The nine-month facility was used to refinance the existing lender and provide additional working capital to support the borrower’s other projects. The agreed exit is through the sale of both flats.
Inspired Lending said the case required a detailed assessment of both the property and the developer’s wider pipeline, with the facility structured around expected disposal timelines and the release of capital for ongoing activity.
Gavin Diamond, chief executive of Inspired Lending, says: “In practice, short-term funding often needs to do more than simply refinance, it needs to support how capital is managed across a borrower’s wider pipeline while sales are progressing.
“With one unit already under offer and both flats completed, the focus was on structuring the facility in a way that gave the borrower the time needed to achieve the right sale outcomes, without slowing momentum across their other projects.
“By fully understanding both the asset and the exit strategy, we were able to deliver a facility that addressed the immediate requirement while supporting the borrower’s ongoing activity.”
