Project: Lane Homes Construction Ltd
Broker: Robert Collins
Client Requirement: Development Finance
Loan Amount: £2.76m
Asset Class: 12 new build houses
Deal Narrative: At Sirius, we pride ourselves on client partnerships that are built on strength and longevity and one example of this in action is our relationship with Danny Lane Construction.
Four years ago, Sirius co-founder Robert Collins assisted Danny Lane, CEO of Danny Lane construction, with his first venture as a property developer.
Danny was well established within the construction industry but had no track record in running his own development, and Sirius was able to secure him a bridging loan to fund a single new build residence.
Following a successful and profitable build, Danny turned to Sirius again to assist with securing funding for his second development of three houses, which required a combination of development and mezzanine finance.
Most recently, we have worked alongside Danny to arrange funding for his largest project to date – 12 new build houses in Essex with a GDV of £3,938,000. The size of the development lengthened the planning process as a proportion of the scheme needed to be allocated to social housing. The result was that 10 of the properties were sold to private clients and a further two were allocated to housing associations.
At Sirius, we were able to use our experience in cases like this to successfully establish an agreement between a senior lender and a mezzanine lender to secure the £2,760,000 of finance required to fund the development.