Supporting a Returning Developer with Auction Funding & Line of Credit

We were approached by a highly experienced property developer seeking funding following a successful auction purchase. The client has 25 years of property development experience and is a returning borrower to Cornerstone.

Challenges

• Strict auction completion deadline: The client needed to complete within the standard 28-day timeframe.
• Requirement for additional liquidity: Funds were needed not only for this acquisition but also to support ongoing and future development projects.

Solution

• Loan Facility: £225,000 provided.
• Security Valuation: Desktop valuation instructed at £314,000.
• Timely Completion: Funding was delivered well within the auction deadline, ensuring a smooth completion.
• Planning approved to split into 2 semidetached houses – 1x 3 Bed, 1x 4 Bed.
• Sale of 3 bed £320-330k 4 bed £375- 400k.

Client feedback

Following the successful completion of this transaction, the client returned to request a Line of Credit Facility to support future acquisitions and development opportunities. With Selina’s support, we were able to arrange an additional £207,000 facility, providing the client with flexible drawdown capability as and when required.