Development Finance Today recently caught up with Samantha Williamson, BDM of development brokerage Positive Commercial Finance, who revealed that the firm has plans to launch a Joint Venture proposition next year.

Samantha Williamson of Positive Commercial Finance

1. While fairly new to the Positive team after joining in the summer this year, please can you give us an insight into your role and what roles/experiences you have had in the past?

I deal with enquiries from introducers and direct clients, and assist in finding suitable property based funding solutions for them.

I have 19 years’ experience of property-based lending with a number of high street banks, and I’m also a landlord and have undertaken property renovation for sale.

2.    Did you always want to work in finance?

No, my original plan was to be a lawyer specialising in criminal law. I have a degree in law and accountancy and then did my legal practice course. Unfortunately, I was unable to get a training contract at the time and so I went into banking and commercial mortgages.

3.    What one thing would you change about the development industry?

The very restrictive lending criteria that some lenders apply. Having worked for a few over the years, either they won’t lend to that sector at all because they perceive it to be too risky and speculative, or the criteria they apply is very prohibitive.

4.    What are your predictions for the development finance industry next year?

I think we’ll see even more development finance products from the alternative lenders, particularly as some are talking about becoming banks. Also, I think some of the Buy To Let and bridging lenders who perhaps do refurbishment products may move into this sector.

5.    What exciting projects does Positive have coming up in the near future?

We are working on a joint venture proposition, which we hope will come to market next year. It will offer developers, who are perhaps short on funds or have their funds tied up in other schemes, the opportunity to take advantage of purchasing sites without having to contribute to the land or build costs, in exchange for a share of the profit on the scheme.

6.    What are the biggest challenges for the development market at the moment?

Despite all the talk of lack of funding and support in the sector, I think there are plenty of lenders out there who can provide that, but it’s the developer’s mind-set that needs to change and their expectations on price.

Developers should see alternative lenders as facilitators to either get experience and/or build up some cash reserves, or just to make a profit on a scheme that otherwise couldn’t be done.  

7.    What development products would you like to see launched next year?

I’d like to see more structured products where a development loan automatically gets flipped onto a traditional bridging type loan pending sale. I would see this as a single product and not two products, so the customer only pays once for arrangement, legal and valuation fees, but the pricing would be linked to risk - so a higher rate through the build period, but reducing once the completion certificate has been issued and the property is on the market for sale.

8.    What is more important in development – rate or service?

I find that the majority of clients seem to be driven by rate.

Personally, I think service is more important. You may have a “cheap” offer from a lender, but it might take them six months to complete, in which time that’s cost the customer time and money, and they may have lost out on a deal because of it.

9.    What are your targets for 2016?

I want to build on the relationships we have with lenders and introducers.

We continue to grow the size of the business, and this will be further helped in the New Year with the joint venture proposition, and our exclusive funding lines.  

10.    If you could have one superpower, what would it be and why?

I would be “Precognition Woman” with the power to perceive future events before they happen. I’m thinking more on a basic and selfish level though… It would also enable me to not waste time on things or people that don’t help me achieve my goals.