24hr Fund Raise for Unique Site, in Hugely Competitive Locale
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Picture the scene, an existing client retained our services to provide a fast (sub 24 hours) bridging facility to enable the acquisition of an existing property and adjoining plot of land in the ‘city of dreaming spires’. The opportunity being a short 15 minute walk from Oxford University.
We dropped everything to achieve Lender Heads of Terms in under 24 hours from the initial enquiry.
It was a delight to be able to provide robust evidence of funds to enable our client to negotiate the final price (£900,000) and timeline with the vendor, secure the land, and allow legals to commence.
The borrower, a very reliable and well established developer, did not want to miss out on such an opportunity given the location. They were able to ring-fence cash for the deposit, and the percentage gearing gave a good selection of what the market had to offer. The pressure was one of time and any failings on our part meant the loss of the opportunity, the forecast £1m profit which goes with it, and I expect, the client’s future business.
We knew the lender who would support the bridging facility almost immediately, so we began a program of works with a tireless effort that saw us build the submission and supporting documentation into the evening, allowing us to present Lender Heads of Terms to our client the following morning.
The facility agreed was net £683,000 which would be required for a minimum period of 3 months with interest chargeable at 0.95% per month.
After delivery of the Lender Heads of Terms and the client securing the property/land, we were able to widen our search and research to bring down the interest cost and fees associated with the facility. This was achieved by putting in place a development finance facility ‘day one’, so that the client did not have to use a bridging loan and therefore the additional set up fees and higher interest associated with this originally sourced ‘interim’ product.
If you or your clients require quick action from a committed, reliable and well connected team then we may be what you are looking for. We are client side, and act at pace to put in place the funding you need, when you need it.
Get in touch and run your scenario past us today.
Mark Reidy
Business Development Director
Mark@ConduitFinance.com
T 0131 564 0275
M 07775 678 087