Stuart Law

Assetz Capital reports 175% increase in development lending



Assetz Capital has reported a 175% year-on-year increase in the number of property development projects it has funded in the UK.


Assetz Capital’s projects include the funding of Trent Pads’ student accommodation block and backing both Athena Healthcare’s new 71-bed care home and Gower Homes’ expansion into 47 new homes.

The company has also announced that its development-focussed lending in July reached around 5% of the entire UK banking system’s lending of £537m towards newly constructed buildings.

Stuart Law, CEO of Assetz Capital (pictured above), said: “Although many funders with exposure to London and the South East are hesitating on funding new projects due to various market uncertainties such as Brexit and the price falls centred around London, we’re personally experiencing a healthy demand across the rest of the UK. 

“It’s important to remember that whatever the political climate, the UK still has a real gaping need for developments of new homes.

“We are, however, seeing a real reduction in lending to developers recently as prices of high-end properties wobble in London. 

“The peer-to-peer market and platforms like Assetz Capital are a strong source of funding for viable schemes with experienced developers.”

Earlier this month, Assetz Capital announced plans for its Innovative Finance Isa after receiving full authorisation from the FCA.

Over the last four years, the company has provided its investors with gross returns of more than £25m on their investments.

 



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