The Brief

Our client had been leasing a commercial building but had secured a piece of land and gained planning consent for their own business premises. They required finance to build a fabrication workshop and showroom. They were hoping to cover as much of the construction costs as possible, and as they had already commenced building were keen to find a fast solution.

The Challenge

Development finance has many different aspects and parameters that lenders look at. In this case, the rural location, relatively bespoke design, building class and the clients’ limited experience in building development were factors that limited their borrowing power.

The Solution

Breadalbane Finance invest a lot of time in maintaining a lending panel that can cover most types of development, and understating which lender has scope and appetite for each type of development is critical to ensuring a successful finance application. In this case, we reviewed each limiting factor of their development, and found a lender that was comfortable with the property type and location. As Breadalbane also have an in-house Surveyor, we were able to help the client develop their Development Appraisal, which is key to the loan application and also to the lender’s Valuation of the development.

The Outcome

Breadalbane’s knowledge of the lending market allowed us to quickly identify appropriate funders that could complete a loan quickly as possible. With our connections to the industry, we also helped identify an appropriate Valuer with knowledge of the location and property type to allow a fair valuation report to be produced. The loan covered the majority of the construction cost, and with the client’s own equity put in, will allow the completion of the building on programme.