LendInvest financed a £12m development project for Acorn Property Group in Wedmore, Somerset, completing the deal in eight weeks to meet the borrower’s timeline.
The deal was brokered by Daniel O’Neil at SPF Private Clients and is supporting the majority portion of a 55-home residential development which is a mix of two-, three-, and four-bedroom homes, 40 per cent of which is affordable housing.
The total loan provision for this site is £12m based on a loan to cost (LTC) of 90 per cent, with the total gross development value (GDV) for the development forecast to exceed £19.6m.
Acorn group managing director Melanie Omirou noted this was the fifth deal they had completed with the lender.
“After working together on a number of key deals over the last couple of years, we thought of them immediately for this development,” she said.
“Speed was crucial for this project, and from beginning to end the team worked swiftly to facilitate the loan in a tight timeframe.”
LendInvest co-founder and chief investment officer Ian Thomas (pictured) added: “Given the desirable location and the borrower’s extensive experience delivering quality projects nationally, we were delighted to get the opportunity to finance this project.
“The borrower was operating within a tight timeframe, requiring the team to move quickly and work closely with the borrower to get the funding in place.”
Octopus £30m deal
Octopus Real Estate provided a £29.6m loan to Matching Green for the ground up development of a mixed residential and commercial site in Bermondsey, London.
The deal was structured by the JLL Living Funding team.
Full planning permission has been granted for the development of 111 apartments, plus six commercial units, located at the prime London location.
The apartments will be comprised of a mix of one-, two- and three-bedrooms, including 42 affordable apartments, while the six commercial units will cover 11,800 sq ft.
Octopus Real Estate head of residential development Gavin Eustace said: “The strong location of this scheme makes it an attractive choice for both residential and commercial development.
“The commuter links and the proximity to the City of London will make the development an appealing option to future residential and commercial tenants.
“London remains an attractive investment opportunity for developments and demand is still high.”
James Allen, owner of Matching Green, added: “Neighbourhoods in London such as Bermondsey continue to be sought after locations for residents and businesses, and so we believe this development will provide us with an opportunity to meet the needs of both.”