LendInvest Mortgages has provided a £3.753 million development finance facility for a new apartment scheme in the London Borough of Barnet.
The funding will be used to demolish an existing building and replace it with a new-build block comprising three three-bedroom and six two-bedroom apartments across the ground, first and second floors.
The development will also include nine parking spaces in the basement.
The facility is the second that LendInvest has provided to the developer. On completion, the borrower plans to exit onto a buy-to-let line of financing.
LendInvest structured the loan at 70% loan-to-gross-development-value over an 18-month term. The lender said the deal was approved well ahead of the purchase completion date, allowing the transaction to complete smoothly.
Steve Larkin (pictured), managing director for development at LendInvest, says: “At LendInvest, we’ve always been committed to supporting SME developers across England, Scotland and Wales.
“This particular facility is the perfect example of a developer seeing the potential in a piece of land, and with the UK in need of new housing, these nine new apartments are another step in the right direction.
“Providing financial certainty and technical expertise needed to get schemes like this off the ground is where LendInvest adds the most value. We are very much open for business and are eager to support more SME developers in bringing their next vision to life.”
