Development Finance

Demolition and Rebuild of Redundant Farm Buildings into Four Homes in Shropshire

£870,000 · 16 months · 1.02% pm. A farmer-turned-developer had obtained consent to demolish a cluster of redundant agricultural buildings and construct four substantial detached homes in a sought-after Shropshire vill...

Category
Development Finance
Loan Amount
£870,000
LTV
62% LTGDV

The Client

Farmer-turned-developer

The Challenge

A farmer-turned-developer had obtained consent to demolish a cluster of redundant agricultural buildings and construct four substantial detached homes in a sought-after Shropshire village. Rural development finance was proving difficult to source.

Our Solution

Doulton's underwriters assessed the rural market carefully using local comparables and agreed a £870,000 development facility. Build risk was managed via a fixed-price building contract and regular site monitoring.

The Outcome

All four homes completed to a high specification. Two sold prior to completion at full asking price and two sold within six weeks of PC. Net developer profit exceeded the initial appraisal. Key highlights: Rural development accepted with strong local comparables; Fixed-price contract reduced build risk; Two units sold pre-completion.

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