LendInvest has provided an 18-month refurbishment GDV facility of more than £900,000 for the acquisition and redevelopment of a semi-commercial property in Buckhurst Hill.
The scheme, which has a projected gross development value of £1.5 million, is being undertaken by an experienced developer and repeat LendInvest borrower.
It is the first case introduced to LendInvest by Nascot Advisory and involves a share purchase acquisition and heavy refurbishment of the property.
Plans include the construction of a double-storey rear extension and conversion of a detached building at the rear of the site, increasing the total gross internal area to 329 sq m.
On completion, the property is expected to comprise a ground-floor retail unit, two duplex apartments and a standalone two-bedroom bungalow.
LendInvest has structured a day-one net loan of £417,000 at 70% LTV, together with funding for 100% of the £358,000 construction budget. The facility has an LTGDV of 59.52%.
The borrower’s proposed exit is to refinance the residential properties on to LendInvest’s longer-term buy-to-let products, with the option of selling the commercial unit separately.
LendInvest’s Refurb GDV product bases the loan limit on the property’s expected value following completion of the works, providing acquisition or refinancing finance alongside staged funding for construction costs.
Vishal Dixit, managing director at Nascot Advisory, says: “Placing our first case with LendInvest was a seamless experience.
“Their team understood the nuances of the share purchase acquisition and heavy refurb elements immediately, delivering a flexible structure that met our client’s exact timeline and capital needs.
“Utilising the in-house MS/Asset manager function sped up the process, and completing the deal in 38 days resulted in a great outcome for our borrower.
“We look forward to building on this partnership.”
Michael Minnie, head of sales for bridging at LendInvest, says: “At LendInvest, we’re always ready to support brokers and their clients who can see the potential in a property. Our Refurb GDV product is the perfect fit for borrowers who want to take on ambitious projects.
“We are thrilled to complete our first deal with Vishal and the team at Nascot Advisory while continuing our strong relationship with a valued repeat borrower.
“Refurbishment projects of this scale require flexibility and precise structuring, and our £900k+ facility gives the developer the exact runway needed to unlock this site’s £1.5M potential.”
