Fiduciam aims to double development lending in 2022

Fiduciam has set up a new specialist development team as part of its plans to complete £140m worth of development loans in the UK and Ireland this year.

The new team is led by head of development finance Jake McCausland (pictured above) and consists of five members, including portfolio manager Henry Fisher and Ireland specialist Luca Ciliento.

The lender aims to double its development lending, after granting £69m worth of loans for projects in the UK and Ireland in 2021.

Its total development lending across all markets — including Spain and the Netherlands — reached £243m last year.

Fiduciam offers development loans from £250,000 to £25m at up to 75% LTV, with terms ranging between six months and three years.

Following recent price reductions, rates now start from 0.57% pm for permitted development and conversion facilities, and 0.61% pm for ground-up development finance.

It also provides development funding on commercial properties for enterprises across the care, hospitality, education, manufacturing, logistics and agri-food sectors. 

Reduced rates are available for cases that combine residential and commercial elements, such as shop-apartment combinations.

Where market liquidity permits, Fiduciam will focusing on the aggregate value of all the individual units when calculating the LTV, rather than the discounted block value.

In addition, the lender offers the option to reduce the interest rate or provide an equity extraction once practical completion is achieved. 

“At Fiduciam, we focus first on the developer and their portfolio requirements, and then consider projects specifics,” said Jake.

“Our new development team will allow us to further support our developers across the project cycle. 

“We hope to grow our book with £140m of new development lending in 2022 through strong relationships, flexible funding structures and market-leading rates.”

Thomas Reeve, head of Fiduciam’s UK team, commented: “With our dedicated development team and a strong focus on this segment, we look forward to assisting many developers across the UK.  

“As the economy emerges from the pandemic, there is substantial pent-up demand for development finance, and we are ready to help fill this gap.”

Ken Duffy, head of Fiduciam’s Ireland team, added: “There is an enormous shortage of affordable residential accommodation in Ireland, and many very capable builders and developers find it hard to obtain development finance.  

“We are eager to assist these entrepreneurs address this shortage with our Irish development loan offering.” 

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