UTB funds £42m GDV Kent development



United Trust Bank (UTB) has agreed to fund the first phase of a £42m GDV development in Chestfield, Kent.

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The specialist bank is providing regional housebuilder, Kitewood, a £22m 36-month facility on a peak debt funding arrangement for phase one of the scheme, comprising 98 two- to five-bedroom homes.

Subsequent phases will see Kitewood deliver a total of 300 new homes on the 16.7-hectare site.

UTB originally funded the acquisition of the site in 2020 with a view to providing the construction costs once detailed planning permission was obtained.

“Kitewood has an excellent reputation for delivering great quality homes, and I’m delighted that UTB is supporting this scheme in Chestfield, which will eventually deliver 300 much needed new homes in the South East,” said Paul Flannery, director of property development at UTB (pictured above).

“We’re committed to helping housebuilders acquire and complete development opportunities by building strong, long-term relationships which can endure the ups and downs of the economic cycle.

“This Kitewood development is a great example of how specialist development lenders like UTB can work with experienced developers to structure innovative funding solutions which meet the needs of the customer and the bank.”

Kitewood has been building homes in and around London and the South of England for nearly 30 years.

In May, UTB secured an ENABLE Build guarantee from the British Business Bank to boost lending to smaller housebuilders in the UK.

It was the first to be issued under the programme and will allow the lender to significantly increase the amount of development finance it provides to SME housebuilders.

The news followed the announcement that UTB and Homes England had launched a £250m Housing Accelerator Fund to support SME builders with funding at up to 70% LTGDV.

Earlier in the year, the bank also teamed up with proptech Aprao to assist developers with their appraisals.



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