The funding will be used for an office-to-residential permitted development in the centre of Newcastle Upon Tyne, which is set to deliver 152 flats, qualified for the Help to buy scheme.
The lender has provided the loan on a 22-month term.
“Newcastle is set to see significant economic and population growth over the next five years, and this development will bring much needed affordable flats to the city centre,” said Henry Wilson-Holt, senior lending manager at Zorin.
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“We look forward to working with the borrower and their team on this scheme and others in the future.”
Luke Townsend, founder and CEO of Zorin, commented that a shortage of housing was a nationwide challenge, not one simply felt by London and the South East.
“We are proud to be supporting some outstanding developers in the South West, Midlands, East and North West, and this now extends to the North East where we see considerable opportunity in the coming years.”
Since it launched in 2011, Zorin has provided 179 loans to UK SME housebuilders, helping to create over 3,000 new homes.