The developer client required the facility within a week to refinance his previous loan and fund his ongoing project, consisting of nine houses and 14 flats, from wind and watertight to practical completion.
Although the lender was initially unsure whether it could commit to complete the deal in the timeframe, it had its external valuation, QS and legal teams lined up following internal discussions, so that it was able to provide the funds on time.
The one-year development exit finance loan was agreed at 84% LTC and 64% LTGDV.
The client will now be able to sell his units in an orderly manner and with the added benefit of reducing his cost of finance by 1.5% per annum.
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Ian Wilson, CEO at Acre Lane Capital (pictured above), said: “When I heard that the client needed a refinance to be completed within a week, I had mixed emotions.
“Of course, we wanted to write the loan, but I wasn’t sure whether we could commit to being able to achieve the timeline.
“Our fastest development exit finance loan had previously been completed in four business days, albeit that refinance was at practical completion.
“However, to refinance a project at the wind and watertight stage is an altogether more complex proposition.
“What happened next was somewhat miraculous, and while the day of closing was hectic (as ever), we refinanced the loan within the five-business-day window."