Specialist lender Fiduciam has secured £100m in funding to be deployed over the next two years, starting from Q4 2024.
This funding aims to support SME housebuilders in providing more residential housing, aligning with the Government’s priorities.
Fiduciam offers bridging and development loans ranging from £500,000 to £25m, with terms of up to three years.
Loan-to-value (LTV) ratios of up to 70% are available for residential properties and up to 65% for commercial properties.
Fiduciam said it plans to use this funding to continue supporting projects across the UK, having already funded developments from Kent to the Highlands this year.
The company has seen particular growth in the Midlands, with numerous project starts during the summer.
Fiduciam aims to support affordable residential projects that meet local demand while promoting sustainable growth in the real estate sector.
Louisa Holland-Hibbert, head of origination for the UK at Fiduciam, said: “Our repeat client pipeline is very strong, and the large number of enquiries we are receiving is a good indication of the increasing number of projects now getting under way.
“The additional funding and competitive interest rates will allow us to support more new and existing borrowers across the UK.”
Thomas Reeve, head of the UK team at Fiduciam, said: “Fiduciam expects its bridging and development loan offerings to be in strong demand over the tail end of 2024 and throughout 2025, as interest rates start to come down and projects previously put on hold now kick into gear.
“With the additional funding in place, Fiduciam will be particularly competitive for financing permitted and ground-up developments.
“As part of this growth, Fiduciam is expanding its team to better serve its clients and manage the increasing demand for short-term real estate financing, with more announcements to come in the coming weeks.”
