Aspen completes £1.5m development exit bridge on Hertfordshire new-builds
Aspen has completed a £1.5m, 75% loan-to-value (LTV) development exit bridge on two semi-detached new-build homes in Hertfordshire, giving the client extra time to secure market value sales.
With only snagging work remaining following delays caused by the COVID-19 pandemic, the developer was looking for a capital raise on the site whilst extending the marketing period of the houses.
As build control sign off and warranty were still to be provided, Aspen liaised directly with the build control inspectors and warranty providers to understand the project was progressing properly and ensuring completion was not delayed.
The case was completed on the lender’s flat rate product at 0.89% across the 10-month terms, with no early repayment charge and no exit fees.
The application was handled from start-to-finish by Saif Khalique, underwriter at Aspen Bridging.
John Smith, senior associate at Fieldfisher and Ayesha Yunus, senior partner at Ola Leslie Solicitors, represented Aspen and the client respectively, the latter being part of the lender’s ‘recommended solicitor guarantee’ which will deliver all legal requirements in under 10 days.
The case was presented to the company by Michael Adam, director at PCF, who was confident the lender would be able to overcome the timing issues with sign-off and warranty.
Jack Coombs, director at Aspen Bridging, said: “At any time there are developments that require a little extra time either due to works or planning overruns to ensure they achieve market value.
“Our development-exit bridge fits this requirement now more so than ever.”