Hampshire Trust Bank provides £3.5m loan for the development of 74 homes in Nottinghamshire
Hampshire Trust Bank’s (HTB) Development Finance team in London has provided a £3.5m loan to developer Stancliffe Homes to fund the development of 74 new homes in Shireoaks, Nottinghamshire with a Gross Development Value of £19.5m.
The finance contributed towards the land purchase and fully funded the construction of 74 family houses across a 24 month term. The project was split into three phases, this allowed the developer to achieve sales whilst the wider development was still ongoing. The first sale was completed within eight months of construction starting.
The bespoke facility enabled the purchase of the land in two stages. This phasing approach enabled the borrower to maintain a lower drawn balance as sales receipts come in throughout the life of the development.
The transaction was supported by the Housing Growth Partnership, who help address housing affordability by provide support to the regional residential development community by increasing the number of new homes built in the UK.
Sam Jones, Director at Stancliffe Homes said: “We are delighted to have been supported by HTB on our scheme for 74 new homes in Shireoaks, Nottinghamshire. The team brought a refreshingly logical approach to development financing and their speed in both analysis and decision making was a huge benefit. Since we’ve made a start on site, their team of professional advisors have been good to work with and the funding process has been very efficient.
“It has been great to work with a pragmatic team of people who truly understand the nature of house building and we look forward to working on future schemes together and strengthening our relationship in years to come.”