Specialist debt advisory firm Arc & Co. has secured a £5.8m development exit bridge for a large housebuilder in under four weeks.
The project comprises 14 high-spec residential units in Dorset and was advised on by Arc & Co. Director Cameron Hayes.
The 12-month, 70% LTV loan, required to take out the existing development debt, will be repaid from sales proceeds pari passu with the existing mezzanine finance at a split of 65/35.
Cameron commented: “The client was looking for a funding solution to refinance senior and mezzanine finance during term, rather than after the senior loan, and we’re pleased to have negotiated an agreed split of 65/35 with the lender to facilitate this, improving the overall economics.”