The product caters for a range of projects, including ground-up construction, PD schemes and commercial-to-resi schemes.
It is also available for larger construction projects that don’t fall within the criteria of Arbuthnot Specialist Finance’s heavy refurbishment and conversion product.
Loans are available from £150,000–£2m, with rates starting from 0.85% per month.
The maximum term is 24 months, with the maximum LTV at 70% of market value including interest and fees.
Arrangement fees are between 1–2%, with no early repayment charges, no exit fees and interest charged on a daily basis.
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Arbuthnot launched its specialist finance division in May and it is led by joint managing directors Yasin Patel and Shoaib Bux.
In addition to the new development product, it offers short-term residential finance, commercial finance, light refurb and heavy refurb offerings.
Shoaib and Yasin said: “We are delighted to launch our new development product, catering for smaller experienced developers who are often overlooked and, therefore, may be underserved by our peers in the market.
“We are always looking for new ways to service our clients effectively and the addition of this new product provides robust solutions for real estate professionals, with an emphasis on transparent cost structures.
“It’s an exciting time for the short-term lending space and we look forward to future growth and product development.”