Don't invest unless you are prepared to lose all the money you invest. These are high-risk investments and you are unlikely to be protected if something goes wrong. Take 2 mins to learn more.

Don't invest unless you are prepared to lose all the money you invest. These are high-risk investments and you are unlikely to be protected if something goes wrong. Take 2 mins to learn more.

Downing builds momentum with £9 million loan for residential development

Responsible investment manager Downing LLP is continuing to expand its support for property developers with a £9 million deal building on strong momentum in the sector. Its Property Finance team is delivering huge growth despite challenging market conditions.

The latest deal supports the building of 56 houses and 22 flats by a new client in Bordon, Hampshire, which is equidistant between Guildford and Winchester.

The homes are being built on land which forms part of a major regeneration site which has largely been developed successfully by national housebuilders.

Downing’s Property Finance team deploys funds from investors as secured loans to property developers delivering residential-led schemes nationwide, as well as non-speculative commercial developments, and specialist sub-sectors such as student accommodation.

Its investors can benefit from debt investment secured against property development projects by targeting attractive yield through a “safety-first” lens, focusing on relationship-based sourcing and working with experienced counterparties.  

Parik Chandra, Partner and Head of Specialist Lending, Downing LLP, said: “We are continuing to grow the portfolio in very tough macro conditions and a competitive market. We remain committed to supporting SME developers in the face of challenging conditions.

“We’re delighted that the houses and flats will be a mixture of styles and sizes, serving a broad range of buyers - from families to first-time buyers.”

Downing LLP typically lends between £1 million and £25 million to experienced developers with the ability to go higher by exception. It lends up to 90% loan-to-cost and 70% loan-to-gross-development value.

Click here for more information on Downing Property Finance.