Magnet Capital completes £1.8m loan for luxury Leicester development
Magnet Capital has completed an initial £1.8m facility, with fees and interest rolled up, for a substantial luxury development in a prime suburb of Leicester.
The initial advance assisted the borrower with completing an option agreement on a site that was a former bowling green in the suburb of Stoneygate.
Magnet Capital considered the increase in site value from the planning gain and lent 50% of the enhanced value, and will provide the remaining build costs for phase one of the project.
Phase one consists of the construction of three large, detached houses and the installation of services and infrastructure to the remaining build plots of the site.
According to Magnet Capital, the client was recommended after being disappointed with the service he had received from a previous development finance lender, and after growing disillusioned with waiting for another lender to provide a CBILS loan.
Ashley Ilsen, chief executive at Magnet Capital, said: “Since launching, we’ve established a name and a brand that is synonymous with quality in the development finance sector.
“We’ve made a lot of the headway in filling the gap for what has historically been a poorly serviced part of the development finance market.
“It’s great to see growing demand for an experienced development finance lender that is able to offer genuine flexibility in our facilities.
“Our first two years of trading was about growing our brand, and now we’re focussing on widening our market reach. Watch this space”.
Sam Howard, managing director of Magnet Capital, added: “Magnet Capital’s success has been built upon our personal approach and our borrower’s direct access to the key decision makers.
“This project is a great example of this. Our close and regular contact with the client and decades of experience in dealing with complex sites, enabled us to structure a deal that met the client’s specific requirements, resulting in the deal being closed successfully.
“Our hands-on service is the same, whether it is a one house scheme or a large multi-phased project.”