Inspired Lending has delivered an £800,000 loan facility to support the completion of a part-built housing development in Devon.
The funding was agreed with a repeat borrower to enable the final works on seven new build homes, all of which had already been pre-sold to a housing association.
The development had previously stalled following the failure of a previous contractor, delaying practical completion.
Each of the seven houses was at a different stage of construction, with some nearing completion and others requiring more significant finishing work.
The loan was structured as a “finish and exit” facility, with funds released in drawdowns to match the schedule of works and payments set by the new contractor.
This approach not only supports the timely completion of the project but also helps reduce the borrower’s overall interest costs by limiting drawdowns to when funds are required.
The borrower plans to redeem the facility through the agreed onward sale to the housing association once all units have achieved practical completion.
Gavin Diamond (pictured), CEO of Inspired Lending, said: “Deals like this highlight the value of short-term lending that’s flexible and responsive to the real-world challenges developers face.
“By structuring the loan in line with the contractor’s programme, we’ve supported a smooth on-site restart and helped keep costs under control.
“It’s a simple, sensible approach that works well for all parties, especially when timing is critical.”
