Avamore Capital has completed a £3.6m development loan on a ground-up residential development in Sutton.
The developer has completed a number of successful schemes over the past few years and has planning in place to deliver six two-bedroom and three three-bedroom flats at the site.
The repeat borrower will use the loan to refinance the existing lender and provide 100% of the development costs for the scheme. The loan is offered with an LTGDV of 70% secured against the primary asset in Sutton and three additional properties on a loan term of 21 months, with the exit strategy being the sale of all of the flats.
The loan term gives the developer plenty of time to achieve practical completion and sell all of the units, which are expected to sell fast as they are located in an area of high demand.
Cameron Levitt (pictured), relationship manager at Avamore Capital, said: “A successful collaboration between us and the broker throughout this fantastic deal achieved the best outcome for the client. Magnificent work from all involved.”
