Hodge Bank has a long heritage of providing loan facilities for property development projects.
Our experienced team will be pleased to discuss your broad development proposals and detailed project appraisals. Our aim is to to develop bespoke lending solutions for your specific needs whilst our business structure ensures that decision timescales are short.
We generally lend for developments in the office, industrial, leisure and residential sectors. However, the type, financial structure and location of the project, along with the experience of the developer are typically the key drivers of our decision making. We ideally would wish to see an element of pre-lets or pre-sales in the proposal.
|Borrower types||Companies, SPV, partnerships, private individuals|
|Loan Size||generally £1m – £15m|
|LTV||up to 66% of total project costs; up to 60% of GDV.|
|Amortisation profiles||interest roll up during the development phase then bullet.|
|Covenants||Loan as a % of GDV / Pre-lets or Pre-sales|
|Security||First legal charge, debenture, charge over JCT contracts, warranties|
|Interest Margin||by negotiation|