Client: Private developer
Project: Winckley Square Preston
As one of only a handful of bridging loan companies in the UK to offer development finance for projects under £2million, a private developer turned to BFS for support with their commercial redevelopment project.
6 Winkley Square in Preston, the former home of DWF Solicitors, was considered a prime development opportunity with scope to convert a commercial building to a multi-occupancy residential building (HMO).
Short term funding was needed to support the developers with both the acquisition of the property and the subsequent build costs. With little appetite from high street lenders due to the ‘lower value’ of the deal, the duo sourced alternative borrowing through short term bridging finance.
With interest from other property developers, the deal needed to be secured within 21 days. From initial conversations, a valuer was instructed immediately whilst all due diligence and administrative and legal works were carried out simultaneously.
The deal was completed within the required timescales and a total of 75% of PP was obtained to secure the acquisition, with the clients now working on refurbishment costs so that further monies can be released against the GDV.
John Hardman, Head of Sales at Bridging Finance Solutions explained: “This was a deal we were delighted to get involved with as our presence grows across Lancashire. I personally know Winckley Square well and knew the quality of the building and also the likely high demand for the finished project. These developers have a great pedigree with such projects and our alertness clarity and attitude won this deal from a competitor.”
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Image: Patrick / Winkley Square, north side / CC BY-SA 2.0