The facility will be used by 3West Group to continue the third phase of the Goodmores development, delivering 71 new homes.

These properties —  a mix of two-, three- and four-bedroom houses — follow two earlier phases already supported by Paragon.

This new facility also refinances a bridging loan provided by the bank in June 2024 which supported the acquisition of the site.

Paragon and 3West began working together in 2022 when funding for the first phase at Goodmores was drawn.

The total GDV across three phases is approximately £90m.

These homes — designed to meet strong EPC ratings with features including EV charging points — qualify for Paragon’s Green Homes initiative.

•   The Finance Professional Show 2024: The Video
•   Paragon funds Bath regeneration with £32.5m
•   Paragon development lending hits £262m

This initiative aims to support SME housebuilders by rewarding them for building energy-efficient homes, with discounts on loan exit fees available.

“We’re delighted to continue our support with 3West Group on this established development in Exmouth,” said James Helmore, relationship director at Paragon Bank who led the deal.

“This facility reflects our commitment to backing quality regional housebuilding where it’s needed most, whilst building valuable, long-term partnerships with developers who have the local knowledge to deliver successful placemaking schemes.”

James Fowler, director at 3West Group, added: “Paragon has been a supportive and flexible funding partner from the outset.

“The team’s understanding of the development process and commitment to our vision has been key to progressing this scheme.”