The two firms have agreed a partnership which will see Pepper immediately take responsibility for servicing all new loans originated by the LendInvest team. The LendInvest team will service existing loans until the autumn at which point they will also be migrated to Pepper.
All loans that require special servicing, such as those in arrears or default, will continue to be handled in-house.
Pepper UK is part of the Pepper Group, a listed Australian company that manages over £32bn of assets across its servicing and lending businesses on behalf of 600,000 customers around the world.
LendInvest said borrowers and their advisers will see numerous benefits as a result of the partnership. For instance, interest can be now calculated daily, rather than monthly.
Christian Faes (pictured), co-founder and chief executive of LendInvest, said: “Collaborating with a hugely experienced loan servicing business like Pepper marks an important stage of development for the business.
“Not only does working with Pepper improve our own operational efficiencies, but the partnership promises significant benefits for both borrowers and investors. For instance, borrowers will have access to a deeply experienced and dedicated team of servicers throughout the term of their loans.”
The lender has been increasing its investment from institutions and banks. Faes added that the move is designed to give confidence to investors.
“Investors too will be comforted to know that our loans are serviced by a highly experienced and regulated servicer, making it easier for institutions in particular to invest in whole portfolios of loans.”
Collaboration with Pepper supports LendInvest’s long-term strategy of bringing more loan products to market for all stages of borrowers’ property investment or development projects. The lender has recently launched refurbishment loans, auction finance and development exit loans.
Richard Klemmer, chief executive of Pepper UK, added: “We have worked very closely with the LendInvest team as it has expanded over the past twelve months and are confident that with Pepper on board, the service and experience received today by LendInvest clients will only be enhanced.”
Property Development Academy expands
LendInvest will also extend its Property Development Academy to four more key cities around the country following overwhelming demand for its London and Southeast courses.
The Academy was launched in September 2016 as a non-profit initiative to improve the skills of aspiring property developers whose projects can help to solve Britain’s major housing crisis. The first Academy course was ten times oversubscribed and the Academy has received over 300 quality applications from around the country.
The Academy will take place in the following locations:
- Northern England: Manchester, 25 – 26 May
- Scotland: Edinburgh, 22 – 23 June
- Midlands: Birmingham, 7 – 8 September
- Southwest England: Bristol, 9 – 10 November
Applications are open for all regional dates. The courses are tailored to resonate with common issues facing developers in their respective regions. All modules are taught by industry specialists from the local area.
Previous Academy courses have featured industry figures as speakers including Tom Bloxham MBE, founder of property development firm Urban Splash; Pat McAllister, Professor of Real Estate at the University of Reading; and Kirsty Barnes, Partner and Head of Banking and Finance at Gowling WLG.