BLEND has facilitated a £3.4m loan to support the development of nine apartments in Cornwall, working alongside Aquilae Capital.
- This financial support underscores BLEND’s consistent commitment to backing promising development projects.
- The loan, comprising a 75% LTGDV, will enable acquisition and construction at a prime seaside location opposite Lusty Glaze beach.
- BLEND’s reputation as a reliable partner in development finance is emphasised through this strategic funding support.
- Statements from key stakeholders affirm the necessity of experienced teams in overcoming funding challenges.
A significant milestone has been achieved as BLEND has provided a £3.4 million senior debt facility aimed at aiding a local developer in creating a new construction block of nine apartments on the picturesque Cornwall coastline. This initiative, introduced by Aquilae Capital, was brought to fruition through collaborative efforts between the developer and BLEND’s team, ensuring the financial requirements were met seamlessly.
The 24-month loan, with a 75% loan-to-gross-development-value ratio, is specifically tailored to the acquisition and development of a site that boasts panoramic sea views, directly opposite the privately-owned Lusty Glaze beach. Such a location adds significant appeal and value to the project, likely attracting prospective buyers seeking luxury living spaces by the sea.
David Alcock, the managing director at BLEND, expressed his contentment with the successful closure of this deal, highlighting the routine challenges that accompany development loans. According to Alcock, the journey from inception to closing is fraught with obstacles; however, having a seasoned team alleviates potential concerns. His remarks emphasise the importance of experienced advisors working collaboratively with lenders to navigate the hurdles inherent in securing development finance.
Moreover, David noted the challenges developers face today in obtaining financing, especially when banks exhibit cautious lending behaviour. BLEND’s role as a through-the-cycle lender is vital, with its understanding of the development process and emphasis on relationship lending further distinguishing its approach in the financial landscape.
Matthew Yassin of Aquilae Capital shared his satisfaction in partnering to deliver much-needed funding to a seasoned local developer. He underscored the value of having adept individuals to facilitate progress when obstacles arise, commending BLEND for its flexibility and skill in supporting the project. The deal marks a positive momentum shift in the market, as more development schemes begin to advance.
This partnership between BLEND and Aquilae Capital reflects the crucial role of experienced lenders and advisors in advancing promising coastal projects.
