Arc X Developments has secured a £4.5m development finance facility from Shawbrook to support the delivery of six detached homes on a site near Bath city centre.
The facility supports the acquisition and development of the former stone quarry in Combe Down, with the completed scheme expected to have a GDV of circa £6.75m.
Introduced by broker partner South West Business Finance, Shawbrook structured a £4.5m facility providing up to 85% loan-to-cost (LTC), with day-one funding capability to support cashflow and deposit payments during the development. The 21-month term comprises 15 months for construction followed by a six-month sales period.
Alex Feilden-Cook, director at Arc X Developments, said: “This site came with some unusual arrangements around the acquisition, so we needed a lender that could be flexible rather than take a one-size-fits-all approach. Shawbrook and South West Business Finance took the time to understand what we were trying to achieve and put funding in place that works for the project as it progresses.”
Greg Pescott, relationship director, development finance at Shawbrook, added: “This is a fascinating site with a lot of character, and the plans make good use of its secluded woodland setting while delivering six new homes in a sought after part of Bath. The acquisition structure was a little different to a typical development, so the funding needed to reflect that. Arc X has an experienced team behind the project and a clear plan for the site, and we’re looking forward to seeing the development take shape.”
