LendInvest has launched a new pre-construction finance product, aimed at property professionals seeking to obtain or enhance planning permission.
The product is specially designed to support property investors in the primary stages of their development as they apply for and await planning permission. By offering a loan term of up to 18 months, the LendInvest pre-construction product is designed to provide the borrower with sufficient time to navigate planning, a process that can be unpredictable in duration.
Borrowers of pre-construction finance who wish to apply for development finance with LendInvest after gaining planning permission will have their applications fast-tracked when agreed.
Interest is charged at 1% – 1.50% per calendar month and there are no exit fees.
It is available on loans between £75,000 and £5 million and on terms up to 18 months. A maximum loan to value (LTV) of 65% applies.
Ian Thomas, chief investment officer at LendInvest, said: “There can be many hurdles when it comes to acquiring planning permission, so it will be a comfort for borrowers to know that they can rely on a finance product specially designed for what can be an uncertain time in the full development project.
“With pre-construction finance loans lasting up to 18 months, our borrowers will have enough time to deal with whatever issues they might come across without a ticking clock behind them.”