Property Development Finance
Property Development Finance
Property development finance is designed to facilitate the construction, conversion, or heavy refurbishment of buildings. Development loans enable you to take on larger or multiple projects at once, while maintaining a healthy cash flow. Funding can be used towards private dwellings, mixed use, or commercial projects. The loan is designed to assist with the project only during the build. Once the project has been built out, the loan is usually repaid through the sale of the property, or refinance. Funding is ideal for property investors, landlords and developers.
- Loans available from £100,000 to £25,000,000
- Terms up to 36 months
- Loans up to 100% of development cost
- Loan to GDV 70%
- Finance for new build, conversion or refurbishment developments including mixed use and student accommodation
- Development exit funding for projects near completion
Loans available from £100,000 to £25,000,000: Empowering Your Property Development Ambitions
At Alpha Capital, we understand that property development requires substantial financial support. That’s why we offer loans ranging from £100,000 to £25,000,000, providing you with the necessary capital to embark on your construction, conversion, or refurbishment projects. Whether you’re a seasoned developer or just starting out, our flexible loan options cater to projects of various scales and complexities.
Terms up to 36 months: Tailored to Your Project Timeline
We recognize that property development projects operate on specific timelines. With our property development finance, you can enjoy loan terms of up to 36 months, allowing you to align your repayment schedule with the anticipated completion and sale of your development. This flexibility ensures that you have ample time to execute your project effectively and optimize your returns.
Loans up to 100% of development cost: Maximizing Your Financial Potential
Securing adequate financing is crucial for the success of your property development venture. At Alpha Capital, we offer loans of up to 100% of the development cost, empowering you to cover the expenses associated with construction, materials, labor, and other project-related costs. Our comprehensive financing solutions ensure that you have the necessary capital to bring your development plans to fruition.
Loan to GDV 70%: Capitalizing on the Value of Your Project
The Loan to Gross Development Value (GDV) ratio is a critical factor in property development finance. Alpha Capital provides financing up to 70% of the GDV, enabling you to leverage the potential value of your project. This funding level allows you to optimize your return on investment and secure the necessary capital to complete your development successfully.
Finance for new build, conversion, or refurbishment developments: Versatile Support for Various Projects
Alpha Capital recognizes the diversity of property development projects. Whether you’re involved in new build projects, conversions, or refurbishments, our property development finance can cater to your specific needs. We understand the intricacies and unique requirements of each project type, including mixed-use developments and student accommodation. Our experienced team will work closely with you to structure a financing solution that aligns with your project’s scope and objectives.
Development exit funding for projects near completion: Seamless Transition to the Next Phase
As your development project nears completion, you may require additional funding for the transition to the next phase. Alpha Capital offers development exit funding, ensuring a smooth transition from the construction phase to the subsequent stage, such as the sale of the property or refinancing. Our tailored financing solutions provide the necessary liquidity and support during this crucial period.
BEST DEVELOPMENT FINANCE BROKER
At Alpha Capital, we understand that each property development project is unique and requires tailored financing solutions. Our experienced team of experts is dedicated to providing comprehensive support and guiding you through the process of securing the right development loan for your specific project. We offer competitive rates, flexible terms, and access to a wide network of lenders, ensuring that you have the best options available to bring your development plans to fruition.
Contact us today to discuss your development finance requirements and experience the Alpha Capital difference. Together, we can explore the various loan options, determine the most suitable solution for your project, and help you unlock the full potential of your property development endeavors.
Types of Development Loans
There are a number of different projects that development finance can be used for, including:
- New builds, including land purchase
- Conversions and restorations
- Renovations and refurbishment
- Development exit funding
When it comes to property development finance, Alpha Capital offers a range of loan options to cater to different project requirements. Whether you’re embarking on a new build, conversion, restoration, renovation, or seeking development exit funding, we have the expertise and resources to provide the financing solution that suits your specific needs.
New Builds: Building Your Vision from the Ground Up
If you have a vision for a new property or are looking to purchase land for development, our development finance options can support your new build project. From acquiring the land to covering construction costs, our loans are designed to provide the necessary capital for every stage of the development process. With our financing support, you can transform your ideas into reality and create a brand-new property that meets your vision and market demands.
Conversions and Restorations: Transforming Existing Properties
Conversions and restorations offer unique opportunities to repurpose existing buildings and breathe new life into them. Whether you’re converting an old factory into residential apartments or restoring a heritage building, our development finance options can provide the funding you need to undertake these projects. We understand the specific challenges and considerations involved in conversions and restorations, and our tailored loans can help you unlock the potential of these properties while preserving their character and historical significance.
Renovations and Refurbishments: Enhancing Property Value
Renovating and refurbishing properties can be an effective way to increase their value and appeal. Whether you’re updating an outdated office space, modernizing a retail establishment, or renovating residential properties, our development finance solutions can provide the necessary capital for your renovation projects. From cosmetic upgrades to extensive remodeling, our loans can cover the costs of materials, labor, and other expenses, enabling you to enhance the value and marketability of your properties.
Development Exit Funding: Transitioning to the Next Phase
As your development project nears completion, you may require additional funding for the transition to the next phase. Development exit funding is designed to bridge the gap between the completion of your project and its subsequent sale or refinancing. This type of financing ensures a seamless transition and provides the necessary liquidity during this critical period. Our development exit funding options can help you complete your project successfully and smoothly transition to the next stage of your property development journey.
These can be for commercial, semi-commercial or residential developments, and for single or multiple units. When considering a new project, you’ll also need to acquire all the relevant planning permissions and comply with building regulations.
Light vs Heavy Refurbishment
You’ll often need to speak with a property finance broker to work out whether your project falls under light or heavy refurbishment. In general, light refurbishment is limited to mainly aesthetic improvements to a property, while heavy refurbishment usually involves structural changes. A new kitchen, windows, or central heating installation will fall under light work, while extensions, electrics, and rebuilding counts as heavy.
How much funding can I get?
Once you’ve found a site and have planning permission it’s time to get in touch with a property finance broker to work out the amount you can borrow. The funding will be determined by land and development costs, lender fees, and professional costs. Development loans also usually include contingency costs at 15-20% which are set aside to cover unforeseen expenses. In general, we can secure loans of up to 100% of development costs and 70% gross development value.
Alpha Capital is a Commercial Finance Broker and not a Lender.
Alpha Capital is trading style of Alpha Capital & Debt Advisory Services Ltd, Company Number: 12557280.
Alpha Capital and Debt Advisory Services Ltd is authorised and regulated by the Financial Conduct Authority. Our FCA number is 988370 and this can be checked by visiting www.fca.org.uk/register. Our registered address is Unit 3, 1st Floor, 6-7 St. Mary At Hill, London, EC3R 8EE. Company number 12557280.
We may receive commissions that will vary depending on the lender, product, or other permissible factors. The nature of any commission model will be confirmed to you before you proceed.