Exiting Development Funding into Long-Term Investment Finance.

The Requirement:

Our client had completed a residential development in West Wimbledon, comprising of new-build terraced houses and a block of new-build flats. They wished to retain one completed unit from the scheme and refinance it onto long-term investment finance. The key objective was to exit development funding and fully repay the borrowing used across the wider project, while keeping this unit as a long-term asset.

About The Property:

The security was a single, completed residential unit, forming part of a wider development of 5 new-build terraced houses and 5 new-build flats. The unit was fully let on a corporate lease, providing a clear, contracted rental income stream and a strong, institutional-style tenancy profile suitable for mainstream buy-to-let lending.

How we helped:

We assessed the client’s position and identified that the retained unit could be financed with a standard buy-to-let lender, despite originating from a development scheme. We then:

• Positioned the case around the quality of the completed unit and the strength of the corporate lease.
• Demonstrated how the refinance of this single unit would support the full repayment of the developer’s existing facilities.
• Structured the borrowing at 75% LTV, aligning the loan size with both value and rental coverage.

By presenting a clear, lender-friendly narrative and robust income profile, we were able to secure standard BTL terms on what had started life as a development asset.

The Outcome:

We secured a £1.64m facility at 75% LTV with a mainstream buy-to-let lender. This allowed the client to:

• Fully repay their development and associated borrowings.
• Transition the retained unit onto long-term investment finance.
• Hold a high-quality, income-producing asset in West Wimbledon on a stable and sustainable funding structure.