The facility was structured at 74% LTGDV, with BLEND providing the senior debt and stretching the overall leverage through internally arranged mezzanine capital.

The funding will support the delivery of a nine-unit residential development, comprising a mix of two-, three- and four-bedroom homes.

By arranging the mezzanine capital internally, BLEND was able to reduce complexity and increase certainty of execution.

Yann Murciano, CEO at BLEND (pictured above), said: “This transaction is another example of BLEND structuring a deal to get it completed.

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“We were able to stretch the facility to 74% LTGDV by combining BLEND’s senior funding with mezzanine capital from a family office we have worked with for more than 20 years.

“That relationship is key. They rely on our due diligence, our credit process and our ability to manage the full transaction from start to finish. The ICD is already agreed, BLEND manages the full loan, and the borrower does not need to negotiate with several different parties.

“That makes the process much more efficient than using a third-party mezzanine provider and materially increases certainty of closing. For experienced developers, that certainty can make a real difference.”