What is Development Stretch Funding?
Development stretch funding provides developers with a means to spread their capital across a greater number of projects without a requirement for a separate mezzanine funder. Funds are secured by a first charge on the subject site with a high loan to value ratio.
Why Use Development Stretch Funding?
High street senior lenders often restrict their lending ratio to 60% of costs (i.e. site plus build costs) whereas Calmez can provide a facility of up to £3,000,000+ at a ratio of up to 90% of costs. Stretch funding can aid developer’s cash flow and enable more projects, or larger projects, to be taken on.
Calmez can tailor bespoke lending with a blended rate that will reduce costs whilst still providing the facility necessary to support the development.
Stretch funding from
£500,000 to £3,000,000+
Calmez Development Stretch Funding:
From £500,000 to £3,000,000+
• Typically up to 90% of costs
• Loans can include purchase of site
• First charge security
Our lending Criteria:
- Developer equity contribution of a minimum of 10% of the total property development cost or able to provide alternative security
- Developers with a track record
- From a single property to residential development projects of 20+ units
- Planning permission in place
- Planning or valuation gain may be considered as equity
Limit your risk to
10% of costs