A developer has secured a £1.8m bridge-to-let facility from Aspen at 80% loan-to-value for a Surrey development nearing completion.
The scheme comprises four newbuild, semi-detached, three-bedroom houses in Coulsdon, Surrey Downs, totalling 5,000 square feet. The properties required building control sign off, light snagging and water connection when the developer’s existing development facility approached its term end.
The developer, a returning Aspen customer who previously completed a large development exit that has since redeemed, will finish the works during the bridging period. Strong demand has already registered via agents, and the developer expects to sell half of the units.
The retained houses will transfer onto the buy-to-let period and join an already extensive portfolio.
Aspen set the bridge term at 0.83% per month on its flat rate over nine months, followed by two years on the serviced period at 6.74% per annum.
Underwriting manager Richard Tweddell oversaw the case from start to finish under Aspen’s one-person-per-case service model.
“This is a quality developer, with whom we already have an excellent relationship, who wanted maximum flexibility,” said Tweddell.
“The structure enables a swift refinance and completion of works typical of a standard bridge, alongside additional time to allow for a considered sales strategy or tenanting to achieve a stabilised rent roll. Ultimately, this is why our Bridge To Let product has won multiple awards, because it gives developers the flexibility they need to maximise each development’s financial potential.”
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