Avamore Capital is delighted to have completed a £6.3m exit bridge facility in Southampton. This is the lenders largest loan at its lowest rate of 0.59% p.m. Furthermore, the facility reflects the greatest number of units Avamore has ever lent against, the property is comprised of 101 residential apartments and 3 commercial units.
The funds will be used to pay the existing lender and to release working capital to the developers and its shareholders. Some of the funds will go towards outstanding snagging works and final s106 payments to the local authority. The property is located close to the iconic Ocean Village and Marina in Southampton; 58 of the residential units have already been sold and upon completion, the property is set to have an expected GDV of £20m.
The borrower, Shojin is an experienced developer, backed by a strong professional team. The original developer went bust during the last crash / cycle and left a part-built development which Shojin subsequently acquired to complete and add vale by obtaining planning for additional units. The complexity of the situation meant that the lender conducted thorough and stringent due diligence whilst also proving itself to be incredibly flexible to work around the borrower and get the deal completed as quickly as possible. With such a huge transaction, the lender successfully managed multiple partners to ensure timely completion towards a common goal.
Michael Dean, principal at Avamore commented: “This deal has proven that we can be highly competitive in the large bridging loan space and we are certainly looking to work on similar projects moving forwards. The completion has confirmed our ability to be competitive on rate whilst also maintaining our strong service levels. Furthermore, the borrowers came to us following a long-standing relationship of four years demonstrating that we really are focused on genuine partnerships. We look forward to delivering further on our promise of relationship focused property lending whilst being able to service a greater proportion of the market.”
Jatin, the borrower, commented: “It was an absolute please working with Avamore on this transaction. Michael and Amit are clearly experienced professionals, which shone through when dealing with any technicalities and getting over any hurdles. Avamore were able to take a commercial view on items to help get the transaction completed in a short timeframe. I would definitely recommend Avamore to others.”