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Full and flexible funding

Our customers had worked for a number of years on a site assembly comprising several parcels of land secured under various option agreements.

After prolonged negotiations they secured a viable planning consent for 13 open market units together with a retirement complex of 26 apartments. With the options held approaching their respective expiry dates, there was the need to exercise these quickly. The planning gain obtained created substantial equity in the site value against the agreed option prices. This enabled the Bank to advance close to 100% of the acquisition price within a flexible facility to enable the varying completion dates on the parcels of land.

In addition, the Bank is now funding the development of the first phase of development comprising the 13 apartments whilst the customers negotiate a further enhancement in the planning on the retirement complex with approval of 33 apartments expected soon. A decision will then be taken on the development or sale of the retirement complex with a number of national operators expressing interest in the site.

Loan: £1.96 million
Loan to costs: 95%
Loan to value: 65%

Darego Capital Bank subscribes to the Banking Code and the Business Banking Code.

We are also a member of the Financial Services Compensation Scheme (FSCS) and are covered by the Financial Ombudsman Service.