Roma Finance, the bridging and development lender, provided 100% funding for a customer to acquire a development site with planning permission.
The case was introduced by Positive Lending for a customer looking to refinance their bridging loan on a property in Watford. They had purchased the property for £805k in December 2018 and applied for planning to develop two houses on the plot which was declined.
The customers subsequently applied for one house of 6,000 square feet, which was granted. The customer is now selling the site with the benefit of planning but is also at the same time going back to planning to get two semi-detached properties approved.
Roma also took additional security on a residential property to give the customer 100% funding to repay their existing bridging loan £645k.
The loan was completed in just ten days, well within the deadline the customer needed. The term of the bridge was nine months and the exit will be the sale of the site, with planning. The site is currently on the market for sale at £1.2m.
Daniel Hill, Divisional Sales Manager at Roma Finance, commented: “This was an interesting case as it had several different requirements from the customer. After meeting them and looking at the viability of the transaction it was clear that the site with planning permission would be a very profitable development. Planning for one detached dwelling was obtained and they’re currently looking to get this updated to two semi-detached to improve the profitability further. This was a complex case but we managed to arrange 100% funding, with additional security, in the time frame the customer was aiming for.”
James Oldham, Specialist Lending Manager at Positive Lending, said: “Roma completed on a re-bridge for a client of mine. The client needed to move fast, otherwise they would be going on to a default rate with their existing lender. Dan Hill and Adrian France had enabled this loan to progress at speed and got this case over the line within the time scale required. As always they were very prompt with responses and were always on hand to ensure the smooth processing of this case. Thanks again guys.”