Development Exit Finance
Have you completed your development, or perhaps you have decided that you wish to refinance your Development Loan even if you aren't at practical completion? If so, you are in the right place.
We have three types of development exit finance; if your site is at, or very near, practical completion, please see details below. If your site units are wind and water tight, please click on DevEx, Wind and Water Tight
. If your site is at an earlier stage than wind and water tight, please click DevEx Loans, Out of the Ground
What is Development Exit Finance?
Developer Exit Finance or Development Exit Loans are simply loans which allow you to refinance your development loan. This can occur at any stage after the development is out of the ground.
Development Exit Finance, Why use it?
- Your project is close to or at Practical Completion and you need time to sell the properties. Your development lender may not be willing to give you this, or is charging you a punitive amount for the time you need
- You wish to re-finance onto a cheaper loan now the development has been completed
- You wish to withdraw some of capital you originally invested now you have completed the build of the site. This may be for a variety of reasons; nevertheless; the most common, is to deploy your scarce capital into a new development. All things being equal, the faster you redeploy your scarce capital the more your money will work for you
What Type of Properties are Suitable for Development Exit Finance?
- Residential properties: Flats, Houses, HMO's etc.
- Properties in England and Wales
- Multiple security welcomed
What are the Terms for a Refinance of Development Exit Loan?
- Interest Rates from 0.55% per month
- Maximum LTV of 75%, based on MV
- No Exit Fees
- No Broker Fees
- Retained, rolled interest, or serviced interest
- Adverse credit considered on a case by case basis
- No minimum size, maximum size £15 million
- 1st Charge
- Corporate or individuals, for business purposes
- Debenture and Personal Guarantee for Corporate
- Foreign Nationals welcome: Directors from EEC, US, Canada, Australia, New Zealand, Singapore, and Hong Kong
- Any expected sales during the term of the loan can be factored into cash flow modelling; in order to ensure, no minimum interest period charges
What will you have to Provide to Complete the Development Exit Finance?
- Details of the Security Properties
- Marketing Strategy of properties
- Details of reservations, exchanges, and completions
- Details of directors of company; or borrower(s), if loan is to property developer(s)
- Original Red Book Valuation (if available)
Development Exit Finance Videos