Paragon launches into development finance

Paragon launches into development finance



In an exclusive blog to DFT, Paragon has announced it has entered the development finance market..


In an exclusive blog to DFT, Paragon has announced it has entered the development finance market.

With a major shortage of housing in the UK continuing to make regular headlines, development finance can play an increasingly important role in unlocking sites for development and delivering much needed homes.

With good sites at the right price few and far between, we understand the need to provide swift and flexible solutions to assist developers secure viable schemes. That is why Paragon Bank is this week entering the development finance market. As a new bank we can bring some of that dynamism to the market. So we will be responding to initial enquiries within 48 hours and, for now, focusing upon London and the South East – one of the world’s great property hot spots.

So, what makes our proposition stand out?

Although we are a new bank, we also come with the backing of the wider Paragon Group, a major player in the mortgage market with more than 30 years’ experience. And the team we’ve assembled brings a wealth of experience to the table as well as the ability to find the right solution for the right project.

Most importantly, however, we have seen a gap in the market which we think is increasingly significant.

A lot of development finance out there is aimed either at major developments, often with a commercial element, or at very small scale developments – perhaps an individual with a plot of land and some grand designs. We feel, however, that there are potential developments that fall in between these two extremes.

Our focus will be on supporting experienced developers by providing the right product at the right price. The key focus will be to work with the developer as a team and delivering on time and on the basis indicated at an early stage of the process. The finance we are offering, starting at £500,000 and going up to £5 million, aims to tap this potential.

London has a dynamic population and an increasing demand for apartments, student accommodation and commuter pads. We are looking to tap into this dynamism by teaming up with the right developers to bring good quality stock to these markets.

Attributed to  Fintan O’Riordan



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