Paragon Bank has announced the completion of the migration of its development finance lending portfolio onto the Phoebus development finance module.
It follows Paragon’s successful acquisition of Titlestone Property Finance in July 2018. Titlestone was already a Phoebus user and so the migration means Paragon’s whole portfolio – with a total value of over £570 million – will now be serviced on the Phoebus platform.
The solution Phoebus has provided for Paragon handles all the complexities of originating and servicing these specialist loans. It records full details of each development property and individual unit, capturing and updating associated information such as project rental amounts and unit sales as the development progresses.
The finance module allows the recording and reporting of details of each drawdown, advance payments, retention and client contributions, including future projections and facility reconciliation. The Phoebus syndication and sub-participation module provides detailed funding reporting including interest due dates and payment schedules.
Richard Pike, Phoebus Software Limited’s sales and marketing director, said: “The migration project with Paragon Bank has gone extremely well and is testimony to both parties working effectively in partnership to achieve key objectives.
“The development finance market remains buoyant and our investment into providing a standalone solution to deal with all of the complexities of this type of lending confirms the importance we put on this expanding sector.”
Robert Orr, managing director at Paragon Bank, added: “Following the Titlestone acquisition, it became apparent that the Phoebus development finance solution provided all of the requirements of both our portfolios.
“Therefore, the consolidation of the books onto the Phoebus platform was a natural evolution and we look forward to seeing the operational benefits the solution will bring to our business moving forward.”