Also known as Mezzanine Finance this product is perfect for the developer where there is a shortfall between
the primary bank funding and the amount needed to complete the development.
Available to experienced developers
only, the finance is secured by way of a second charge behind the primary bank finance so the primary lender's approval
is necessary for the scheme to proceed.
There are two levels of funding available and the criteria for each are as follows:
Smaller Projects
| Larger Projects
|
| Loans from
£100k to £1m | Loans from £500k to £2m/£3m
|
Loans upto 75% of GDV
| Loans upto 75% of GDV
|
Arrangement Fee 2%
| Arrangement Fee 2%
|
Interest
Rate 1.5% per month
| Interest Rate 2% per month
|
Exit
Fee 1%
| Exit Fee - by negotiation
|