Acre Lane Capital has provided a £7m development exit bridge loan to an unnamed developer in Buckinghamshire.
The loan, which was structured at 75% loan-to-value (LTV), enabled the borrower to refinance their existing debt, consolidate financial commitments, and secure the necessary flexibility to complete the sales of the final phase of residential units.
The borrower faced a critical challenge in transitioning from development finance to exit, with multiple units still available for sale. Acre Lane Capital worked closely with the borrower to structure a funding package that provided a higher initial drawdown, ensuring outstanding credit obligations were addressed while keeping sufficient liquidity available for sales progression.
With the units already attracting interest, the loan was structured to align with the borrower’s timeline, allowing the developer to sell at full market value rather than rushing sales due to financial pressures.
Iain Burke, business development manager at Acre Lane Capital, said: “This transaction is a prime example of how development exit finance can be used strategically to manage financial commitments while supporting an effective sales process. Given the strength of the asset, the clear exit strategy, and demonstrated market demand, we were able to structure a 75% LTV facility that met the borrower’s requirements. Development exit loans continue to be a vital tool for developers looking to transition smoothly from construction to sale without undue financial pressure.”
