CrowdProperty provided most of the funds, allowing the developer to refinance a site which had the planning approved for seven new-build apartments and acquired post-auction in Q3 2022.

The development, which is within walking distance of Newbury Park Tube Station, had been on the market for more than 12 months and was purchased for over 25% below the initial asking price.

Saam Lowni, managing director at Merryoaks (pictured above), said: “After securing a bridge loan within four weeks, the next step was to secure development finance.

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“The developer was already working on another project and needed to extend its equity, so we decided to explore stretch senior and mezzanine options.

“The priority was to secure a development loan that would replace the existing first-charge lender and provide 100% of the build costs.

“After exploring numerous solutions, we secured a senior facility of £1.6m with CrowdProperty and a £260,000 loan from Justice Capital.”

The client was provided with a 12-month construction period, followed by a six-month sales/refinance period.

The new-build apartments, which are targeted at first-time buyers, young professionals and BTL investors, will command a £2.5m GDV.