Lendhub funds £4.5m development stretched loan

Lendhub has assisted a developer with a stretched loan of £4.5m.

The borrower needed funding to refinance an existing debt, as well as 100% of development funding to develop a vacant commercial office in Richmond upon Thames.

The client also had a lease agreement upon completion of the property with a blue-chip tenant, making the opportunity to develop clear and evident.

Lendhub was able to assist with its development stretched product, which allows extra leverage, up to 70% LTGDV.

The loan was advanced for a term of 14 months and was completed within three months at a rate of 0.85% pm.

Max Herman, lending manager at Lendhub, said: “This was a fantastic opportunity for the borrower, however, it was important for them to release the maximum amount of capital at the outset.

“There were setbacks, including a lower-than-expected residual valuation among other matters, which we were able to overcome.

“At Lendhub, we take pride in crafting products to suit our borrowers’ needs and give their project what it needs to succeed.”

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