£2.5M Development – Somerset
The borrower needed to refinance an existing development facility secured against two recently converted flats in Exeter. With both units now complete, they required a new lender to support their exit strategy and release additional capital.
Overview
The borrower needed to refinance an existing development facility secured against two recently converted flats in Exeter. With both units now complete, they required a new lender to support their exit strategy and release additional capital.
The Challenge
◽️ Refinance the previous facility as it approached expiry
◽️ Increase Day 1 cash availability to support short-term liquidity
◽️ Maintain a competitive rate and maximise flexibility for exit
Our Solution
Acre Lane Capital provided a £735,000 bridge loan at 70% LTV and 0.81% per month, structured over 9 months. The facility included part-retained and part-serviced interest, allowing a higher Day 1 net draw, and no arrangement fee, giving the borrower maximum usable capital upfront.
The Outcome
✔ Full refinance of previous lender
✔ Increased Day 1 proceeds via fee waiver and interest structuring
✔ Flexible timeline for exit through sale or term refinance
✔ Smooth transition post-completion of the refurbishment
Why This Matters
This deal reflects Acre Lane Capital’s ability to offer pragmatic structuring that improves borrower outcomes — not just in rate, but in cash flow, timing, and flexibility.