Development Finance
In today’s restricted market, development funding has never been harder to obtain: high street banks have virtually withdrawn from the development market.
However, despite this, Charleston Financial Services is well connected and able to source competitive development finance from £100,000 to £5 million.
Development finance lender
Lenders will generally seek to advance 100% of the construction cost, with the percentage of the development loan towards the purchase is agreed individually. This typically gives 75 to 80% of amount required for your project
Development finance broker
Charleston Financial has access to various development funding options and a flexible approach to broking business development finance.
We will confirm within two hours of the submission of an online enquiry whether we can assist with development finance.
Our ethos is to move quickly and facilitate the prompt delivery of development loans, so you will never lose a project because of time delays when you apply through us.
Types of funding
Development funding from £100k – £500k
- 50% of gross development value (GDV) available (100% of building costs and up to 50% of purchase price)
- Rates from 1.25% per month, paid monthly
- 2% lenders fee
- Terms from 3 to 12 months
- Stage funding released against project monitoring certificates
- Offers made within 24 hours
- Funds available within one week of receiving signed mortgage offer
Applicants must have:
- proven experience in development otherwise partnered with builder
- a robust current financial position
- no excessive exposure to existing projects
- initial funds to invest for the build (the lender releases the finance in stage payments during the project)
Development funding from £500k – £5m
- 60% of GDV available
- Rates from 5% above one month LIBOR
- 1% lenders fee
- Terms from 12 to 18 months
- Interest capitalised and funding together with build costs and fees
- Stage funding released against project monitoring certificates
- Residential development only
- Detached houses in strong local markets
- Flat schemes available if of the highest quality and limited concentration risk
Applicants must have:
- proven experience in development
- a robust current financial position
- no excessive exposure to existing projects
- initial funds available to be invested and subordinated behind the subsequent funding for build costs, fees and interest
Visit our FAQ section for more details of our commercial processes, or contact us on 0800 612 3167. Apply Now
