The 7-month loan facility will be used to develop 11 high-spec homes in Rackheath, Norwich
Blackfinch Property has completed a £1.9m development loan that will enable the Elemento Group to continue with the second phase of a residential property development in Rackheath, a village on the outskirts of Norwich.
Following the successful practical completion of nine units in phase 1, the lending facility from Blackfinch property ensured the Elemento Group was able to commence phase 2 earlier than expected. Phase 2 will feature nine terraced houses and two semi-detached houses.
The inclusion of three affordable housing units in Phase 2 of the development means that seven affordable housing units have now been allocated across both phases of the project, completing the affordable housing obligation approved under the original scheme.
Blackfinch Property’s Legal team was able to put in place a complex security structure to help diversify the risk across the other developments that Blackfinch Property has funded with this borrower.
John Hartigan, Senior Investment Manager at Blackfinch Property, said: “*We were delighted to support the second phase of this successful development, particularly after the first phase had been completed ahead of time. We were pleased to able to put together a sophisticated lending structure based on our existing funding arrangements with the Elemento Group.
“This final phase completes a much larger development originally undertaken by a different developer that would otherwise have remained neglected, as well as meeting the housing requirements of the people of Rackheath. As a result, seven new homes will soon be available to this local community.”
Blackfinch Property is a fully funded provider of innovative short-term bridging and development financing solutions. For more information, email [email protected].