The property – a former GP surgery less than two miles from Bristol city centre – will be converted into four executive flats.
The funding facility provided by the lender has enabled the borrower to carry out extensive work to the Victorian-styled, two-storey surgery, which will be converted and extended into four modern, two-bedroom flats that are expected to sell for £210,000 each.
The client has additional plans in place to develop the exterior of the property as part of the planning consent, with bicycle and bin storage to complement the car-parking spaces being developed for tenants.
The car park behind the property
Due to the funding provided by Avamore, the borrower is on schedule to complete all construction and developments in the allotted time.
The nine-month facility was provided at a loan-to-GDV of just under 70%.
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Once the development has been completed, the borrower plans to sell the property on the open market.
Vuong Ngo, analyst at Avamore Capital, commented: “Recently, the market in the South West of England has outperformed all other regions, experiencing a price growth of 2.2% in house prices over the last quarter.
“Taking into account this current demand towards the Bristol market, all early indications are that the sale will run smoothly.”
Michael Dean, principal at Avamore, added: “We are delighted with the facility offered for our new client.
“Having closed the first tranche of funding for Veronica and Jim [the clients] we are excited to help them realise their vision for the property.
“This type of deal is right in our sweet spot.
“Our niche is property conversions and commercial bridging, a space we feel we can offer market-leading leverage and pricing.
“In any event, we are delighted to work with new customers and a new broker Kennedy.”
Avamore was represented by David Powell of TWM Solicitors.