- The prospect had exchanged on the purchase of an old office block which had full planning rights, through permitted development legislation, to convert to 26 residential units
- The agreed purchase price was £2,600,000 with the build costs being £1,200,000 and the GDV being £5,630,000
- Terms were issued on the basis of an initial advance of 60% of the day 1 value and then a further advance of 60% of the build costs, with drawdowns on a monthly basis
- The remaining 40% was introduced by the borrower with the shortfall of the purchase price being provided day 1 and the remining 40% of the build costs being introduced monthly in pari passu with our monthly drawdowns
- Under advice from our solicitors and valuers we completed on the facility within 5 working days from introduction
Permitted development of an office block
