Dragonfly Property Finance has announced a major upgrade to its two stretch senior development finance propositions.

One of its stretch senior products will now be available at a maximum loan to cost of 85 per cent, an increase of 5 per cent.

The two products have a two per cent arrangement fee and interest will be 11 per cent per annum with the minimum term being one month.

Mark Posniak, Head of Sales & Marketing, Dragonfly Property Finance, commented: “The upgrade of our Stretch Senior products is all about giving developers increased flexibility and financial firepower.

“Since they require smaller capital contributions, these products materially boost cashflow and make developers a lot more agile.

The maximum loan to gross development value is 70 per cent including interest while the maximum loan size is £40 million.

“Stretch Senior loans also bring simplicity to projects, as brokers and their clients only have to deal with one lender, one set of legals and can avoid complex inter-creditor agreements altogether,” added Mark.

“There’s no need to scour around the market for the mezzanine tranche: it can all be done under the same roof.

“Essentially, Stretch Senior loans enable bigger projects to complete far more quickly and with infinitely less administration and fuss, which is what the professional developer is looking for.”