Avamore Capital completes £2.18m funding deal for first-time developer’s residential scheme
The transaction, introduced by Arose Finance, involved a number of complexities, including the borrower's lack of previous development experience.
Avamore Capital has completed a £2.18m ground-up development facility to fund the construction of a nine-flat residential scheme for a first-time property developer.
The transaction, introduced by Arose Finance, involved a number of complexities, including the borrower’s lack of previous development experience, the site’s location adjacent to a railway line requiring compliance with a Basic Asset Protection Agreement (BAPA), and an unconventional unit mix featuring several five-bedroom apartments.
Kelsey Phillips, head of specialist finance at Arose Finance, said: “We are delighted to have partnered with Avamore to deliver a fantastic outcome for our client.
“This complex nine-flat ground-up development required considerable diligence, collaboration and resilience from all stakeholders.
“Avamore adopted a pragmatic and commercial approach, looking beyond the borrower’s limited development experience and working closely with Arose to address the outstanding BAPA requirements, non-material planning amendments and unconventional unit mix.
“Their support extended beyond simply providing funding and helped provide the client with the certainty and confidence needed to move forward.”
Adam Butler, sales and marketing director at Avamore Capital, said: “This transaction is a great example of the value of taking a solution-led approach to lending.
“While the borrower was new to development and the scheme had a number of complexities, we focused on the overall strength of the opportunity and worked collaboratively with all parties to structure a solution that gave the client the confidence to move forward.
“It’s another demonstration of how Avamore supports projects that require a more considered approach.”
Saif Ali Khichi, underwriter at Avamore Capital, added: “This deal highlights exactly why specialist lending exists.
“It wasn’t simply about assessing the numbers; it was about understanding the wider context of the project, from the BAPA requirements to the borrower’s lack of development experience and the scheme’s unusual unit mix.
“By taking the time to assess the risks holistically, we were able to structure a facility that supported the client’s ambitions while remaining aligned with our lending approach.”
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