Cameron Hayes, Asset Finance Advisor at Arc & Co. has arranged a £15.6m development loan with leading specialist prime property lender CapitalRise, for the acquisition and development of five luxury houses on a 27-acre site in Farnham, Surrey, on an exclusive gated parkland. The scheme has a GDV of £31.57m with an additional 1.8m mezzanine, taking the total loan amount to 17.4m.
There were several challenges to overcome in order to secure the required gearing, specifically to do with ongoing market issues relating to build costs. Extra emphasis was placed on due diligence for the scheme including understanding the complexity of the development appraisal, given the prime value of the properties and the developers delivery team to ensure the scheme would be built on time and within budget to mitigate any potential issues. CapitalRise’s experience and breadth of knowledge in understanding this sector made them the ideal lender to partner with.
Commenting Katy Katani, Associate Director at CapitalRise, said: “We are extremely proud and delighted to be working on one of the most impressive developments in Surrey backed by such exceptional developers. We are well known for funding loans for property projects in Prime Central and Outer London but have also been assisting developers to deliver properties in the Home Counties for many years. A region where we continue to expand our remit.
We worked very closely with Arc & Co in order to construct a tailored package for the client and look forward to overseeing this development progress.”
Commenting Cameron Hayes, Asset Finance Advisor at Arc & Co. said: “Katy and the team at Capital Rise were a pleasure to work with. Their experience in super prime assets was crucial to delivering this deal. All parties were very cooperative and worked with speed to deliver this on time and we are delighted to have completed this on behalf of our client.“