Loan terms negotiated on merit
Each loan application is assessed and negotiated on its individual merits but the following general criteria will apply:
- Experienced house builders and property developers
- Demonstrable track record of building and selling similar developments.
Types of development:
- Residential development schemes
- Houses, flats, new build, conversions, office to residential, mixed use and property with a commercial aspect
- Commercial development considered
- Sites of 1-100 units, larger transactions considered
- Sites located across England, Wales and Scotland in areas with established demand for new homes
- Loan facilities range from £1 million to £15 million, larger loans considered
- Ability to roll-up interest
- Loans are secured by property/site
- No restriction on the number of units
- Borrowing term for the duration of the development typically 12 to 24 months
- Competitive pricing and terms
BLG’s lending strategy is simple: we provide a secure source of funds to experienced house builders for the purchase of land and the construction of new housing.
Each loan application is assessed on its individual merits. Because every member of our lending team is well experienced in their role, we are able to work quickly and efficiently to meet development project deadlines.
Our underwriting process involves a detailed analysis of each development project. We make no apology for wanting to fully understand your new property product, your market and the key risks and opportunities presented in any given development proposal. And we do this at the sharp end, on site with your building team, your architects, engineers, sales and internal management group. We then supplement our in-house analysis with specialist reports analysing construction costs, ground conditions, environmental aspects and critical sales values and project time frames.
Structuring the development finance loans
We structure the development financing to accommodate the transaction’s features, ensuring that the obligations, rights, responsibilities and performance requirements are clear for each and every party. These obligations are then carefully documented with contracts and security executed and registered.
Transactional monitoring and reporting are vital aspects of development funding and our surveyor will visit the development at least monthly to review progress, benchmarked against budgetary projections. Our relationship team also visit each site regularly to check progress, updating and re-analysing sales projections and timetables.
Supporting housebuilding, partnering with you
We lend on sites across the UK. Every BLG property developer is allocated their own dedicated Regional Director to ensure the best service is provided at every stage of your project build. You will also have the benefit of support from our experienced head office team.