Joint Venture Funding
Aberclay structure allows equity to be spread across multiple schemes providing higher return on capital employed
- Lending provided on a peak cash flow basis to reduce total facility requirement and avoid unnecessarily high levels of equity and fees.
- Appraisal of schemes focuses on phasing of developments, greatly reducing the equity required from the developer.
- Aberclay return aligned to development profit so fully committed to the overall and ultimate success of the project.
- Aberclay hold a first charge security for their loan.
- No requirement for external professionals and associated costs as Aberclay undertake in-house valuations and project monitoring.
- Minimum gross development value of £2M required.
- Proven track record in house building required from the developer.
Aberclay loans are quick to secure and tailored to the individual circumstances of the developer.
- Quick analysis of developer’s initial appraisal, planning permission/application and plans.
- Site visit to assess the suitability of the location and the scheme.
- Due diligence of construction proposal and local residential property market.
- Funding package proposal prepared with full financial appraisal and cash flow for the scheme.
- Warranted build cost, build programme and sales programme agreed.
- Joint Venture Contract agreed between developer and Aberclay.
- Funds released.
Are you a developer looking for finance?
If you have a residential development scheme you would like us to consider, please get in touch.