Aspen Bridging has completed a £150,000 development exit bridging loan on a remote property in Wales through its desktop valuations system.
The money was required to complete the current project in Llangollen, which has £50k of works outstanding, with the remainder being used to improve cashflow to secure the next development project nearby.
The case was further complicated as the current site was not signed off by building control and required rectifying works, plus the warranty was not finalised. A quick turnaround was also needed to ensure the subsequent purchase did not fall through.
The loan was completed on the lender’s stepped rate product, with the deal starting at 0.59% per month for the first half of the 12 month term.
Jack Coombs, director at Aspen Bridging, said: “This case is testament to our expertise in development exit transactions, and would not have been possible without our desktop valuation system which was cost effective and time efficient in meeting the deadline for the client.
“Covid is still causing disruption to normal practices, especially at that time of instructing the valuation as there had still been lockdown restrictions in Wales making it almost impossible to get a physical inspection.
“Our flexibility for development exit deals enabled the client to complete on their next site purchase even though the final warrantee hadn’t been obtained and there were further delays to the building control sign-off. Given all the circumstances surrounding the deal this is a pretty unique completion.”
The case was presented to Aspen by Zara Brindley of Top 10 Finance.
The lender issued a fully-costed illustration within 15 minutes and a submitted post-search DIP in one hour. Legals and desktop valuations were instructed the next day following authorisation from the client and the broker. Undertaking was then received same day.
Meetings with the client were undertaken by Facetime the following day, whereby the applicant was updated on the case and directed on how to ensure a swift completion using Aspen’s remote signing processes and witnessing agreements.