First Published 22/03/22
Specialist bridging and development lender Saxon Trust has today launched its brand new “Market & Sell” and “Finish & Sell” development exit products offering borrowers a diverse range of benefits.
With rates starting at 0.57% pm on the Market & Sell product, developers can reduce the cost of their existing development funding whilst avoiding costly extension fees, both of which can quickly erode profitability. In doing so they can gain the time needed to properly market and sell completed units at maximum value and even release capital to inject into their next project.
Meanwhile, the new Finish & Sell product enables developers to reduce the cost of their finance as soon as their projects reach a wind and watertight stage. They can start to enjoy the fruits of their labour with rates starting at 0.79% pm on this product. This is particularly useful if the developer has experienced unforeseen delays, perhaps due to unprecedented issues such as those caused by the Covid pandemic.
If an existing lender is unwilling to extend or charging too much in rates and fees to do so, then Saxon Trust’s new products can give developers the extra flexibility and breathing space they need.
Designed following extensive consultations with developers, these products underline the Saxon Trust team’s commitment to supporting their borrowers through the entire lending lifecycle. There is no better example of this than the fact that existing clients will automatically transition from stretch development lending rates to the Finish & Sell and in time Market & Sell products on a ‘fee free’ basis. In doing so they will potentially enjoy rate reductions of over 40 Bps.
Loan sizes are available from £100K to £5M, terms from 3-18 months and all internal product transfers are, as stated, fee free.
Information sheets on the new products are available upon request.
Stuart Munden, Head of Credit and Risk at Saxon Trust commented:
“Developers have endured a challenging period over the last two years. Whilst there are some risks they simply can’t mitigate; these new products give them the control and time to ensure they can complete and sell their units in an orderly fashion.”
Brian West, Head of Sales & Marketing at Saxon Trust added:
“As a lender we are always looking to introduce genuinely innovative product ideas. With our existing borrowers already enjoying the benefits of ‘fee free’ product transfers we look forward to introducing many new developers to the same opportunities.”