Bridging
LendInvest has mainstream mortgages in its sights as it secures extra funding
LendInvest has secured a funding line worth £40m dedicated to bridging and buy-to-let-loans as it eyes the mainstream mortgage market.
The finance was provided by investment bank Macquarie and brings LendInvest’s total institutional funding to over £230m.
“LendInvest is creating the most diverse capital base of any mortgage lender in the market, which is a key differentiator for our business,” said co-founder and chief executive, Christian Faes.
“By welcoming another significant institution and funding line to our business, we are putting in place the foundations for a very scalable move into longer duration lending and ultimately, the mainstream UK mortgage market.”
Faes said that a pick-up in performance of the development finance team has been noted, making the mainstream target more realistic.
“They’re completing on average a deal a week after only four months in operation which gives us a lot of confidence for expanding our product range over time,” he said.
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“Moving into longer-duration lending is the next priority for us, and having international investment banks like Macquarie behind us puts us in a strong position to make that happen.”
Alongside the £230m of institutional funds to lend against mortgage loans, LendInvest recently closed two equity investment rounds – in June 2015, Beijing Kunlun, the listed Chinese technology company, invested £22m followed by £17m from venture capital firm Atomico in March 2016.