RESIDENTIAL DEVELOPMENT FINANCE

To assist with the acquisition or refinance of buildings or sites and their development to provide residential units for sale or letting.

CPF will provide finance for the purchase of the site, construction costs, infrastructure and services, ancillary professional costs and the capitalisation of interest, within its standard lending criteria as specified below.

We will consider providing finance for all forms of residential development from conversions through to new build and everything in between. Although we prefer to provide finance that will see the scheme to fruition, we will consider funding for phased developments if that is the most sensible approach to the project. The recent transactions page of this site provides examples of the diversity of schemes supported.

LENDING CRITERIA

CPF will usually lend up to 55% of the gross development value of a residential development, although higher percentages will be considered in certain circumstances for the strongest proposals when we will seek an enhanced return to reflect the high level of costs funded.

The loans are usually structured so that all the construction and associated costs are covered by the facility with the residue available towards the acquisition or refinance and interest cover. In this way, the borrowers’ stake is invested at the outset.