The facility — which can be used for residential, mixed-use, new-build and conversion projects — offers experienced SME developers and housebuilders loans from £5m-15m.
The typical loan term is expected to be circa 21 months, with margins from 5.75%, depending on LTGDV.
“This new lending product is designed to improve existing funding options for the SME space, [so that] these developers [can] benefit from Pluto’s expertise in lending on larger, structured facilities,” said John O’Donnell, lending director at Pluto.
“With prompt decision making and a proactive completion process, the lending options will enable established developers to maximise the use of their funds, without having to resort to third-party equity providers.”
The product can be used in conjunction with the specialist lender’s bridging and development exit offerings.
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Peak debt facilities will also be considered.
The company is currently funding the development of over 2,000 new homes in the UK.
In 2021, Pluto signed a new funding partnership with UK private pension fund, the Universities Superannuation Scheme, to provide funds to the nation’s SME developer market.
The private pension scheme made a significant minority investment in Pluto to enable a major expansion of the business and committed £75m as a cornerstone investor.
In March, the finance provider grew it London-based team after appointing Guy Norman as lending director.