The Challenge
The client required a comprehensive funding solution to both refinance the existing site and fully fund the ground-up development.
Key complexities included:
Site Repositioning: Transitioning an underutilised asset into a consented mixed-use scheme
Funding Structure: Combining acquisition refinance with development funding under a single facility
Delivery Timeline: Supporting a 12–13 month build programme with carefully managed drawdowns
Lender Requirements: Ensuring all pre-development and legal conditions were satisfied to meet lender criteria
A tailored approach was required to align the funding structure with both the construction programme and the sponsor’s objectives.
The Solution
We structured a bespoke development finance facility with Hampshire Trust Bank, aligning the facility to the project’s lifecycle from refinance through to completion.
Our approach included:
Structuring a multi-tranche facility to cover acquisition, build costs, and rolled-up interest
Coordinating closely with all stakeholders to ensure a smooth credit and legal process
Positioning the scheme’s planning consent, unit mix, and location strength to support lender confidence
Managing all pre-drawdown requirements, ensuring a seamless path to completion
This resulted in a fully funded solution designed to support efficient delivery of the scheme.
The Deal
Loan Amount: £2,500,000
Facility Type: Development Finance
Lender: Hampshire Trust Bank
Structure:
Acquisition / refinance tranche
Development tranche
Rolled-up interest tranche
Build Term: 12–13 months
Security: First legal charge with full development finance security package
The Project
Location: South London
Scheme:
8 residential apartments
2 ground-floor Class E commercial units
Planning: Full planning permission secured
The development will deliver:
High-specification apartments with modern fit-out
Private balconies to the majority of units
Energy-efficient design with updated insulation and ventilation standards
10-year new-build structural warranty
Flexible commercial units designed to benefit from strong local footfall
Key Outcomes
Full Project Funding Secured
The client successfully refinanced the site while securing all development costs within a single facility.Efficient Delivery Structure
A staged drawdown approach aligned funding with the construction programme.Strong Market Positioning
The scheme is expected to appeal to first-time buyers, young professionals, and local families.Regeneration Impact
The project will revitalise a prominent site, contributing new homes and commercial space to the local area.
Looking Ahead
With funding in place, the client is now well-positioned to deliver a high-quality mixed-use scheme in a well-connected part of South London.
This transaction highlights P10 Financial’s ability to structure and deliver complex development finance solutions, supporting clients from initial acquisition through to project completion.
