Development Finance

Phased Residential Development of Twelve Townhouses in Cambridgeshire

£2,750,000 · 20 months · 0.94% pm. A Cambridgeshire developer was building twelve townhouses in two phases of six on an infill brownfield site.

Category
Development Finance
Loan Amount
£2,750,000
LTV
67% LTGDV

The Client

Cambridgeshire developer

The Challenge

A Cambridgeshire developer was building twelve townhouses in two phases of six on an infill brownfield site. Each phase had its own planning consent. Phase 1 was fully underway but funding ran short before Phase 2 could start, as a result of cost overruns on Phase 1.

Our Solution

Doulton assessed both phases together, refinanced the Phase 1 exposure, and structured a single facility of £2.75m to complete both phases. Phased drawdowns were tied to a revised build programme agreed with the QS.

The Outcome

Phase 1 completed and all six units sold. Phase 2 completed on the revised programme. All twelve units sold within four months of Phase 2 completion. Full facility redeemed ahead of term. Key highlights: Phase 1 cost overrun resolved within new facility; Single facility across both phases - simplified management; All 12 units sold, facility redeemed ahead of term.

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