Belgravia Property Finance work closely with providers of Mezzanine Finance for all types of property development projects as well as trading companies. Mezzanine Finance is secondary debt finance and sits behind senior debt normally at a level up to 80%-90% Loan To project Cost (LTC), normally this loan to value is calculated based on project costs (development finance) or a valuation of assets and/or revenue of the company for a trading business.
One of our favourite products, this low-rate mezzanine product is aimed at experienced property developers and for prime residential and commercial property for loan terms of up to 36 months.
Loans range from £750,000-20m up to 75% LTV with rolled up or serviced interest.
13% pa up to 65% LTV (GDV)
14% pa up to 70% LTV (GDV)
15% pa up to 75% LTV (GDV)
There is also a 1% arrangement, broker fee and exit fee on each loan.
Our UK Mezzanine Finance providers range from large and medium size property focused funds to discretionary funds and private banks.
- Loan sizes: £100,000 – £50,000,000+
- Residential, commercial or mixed use developments – New build or refurbishment developments
- Loan to Value 70-90% of project costs (LTC) – Normally subject to a maximum of 70% of GDV
- Secured against real estate assets
- New loans or refinancing existing debt – Straightforward or complex structures
Recently offered terms;
1) Care Home Mezzanine Finance
Large UK care home group seeking expansion capital to buy new care home, terms offered – £10m over 5 years, 6% per annum with a 5% charge on redemption of the loan at any time.
2) Property development Mezzanine Finance
20% of total project costs as secondary debt behind senior funding of 65% of costs taking the loan to cost to 80%. Annual rate of funds on drawdown basis 15% with 1% lender arrangement fee. Term 18 months.
0203 651 5053 or email@example.com