Heritable Development Finance

Heritable Development Finance

Providing financial support to small and medium-sized developers for primarily residential and mixed use developments in England and Wales.

At Heritable Development Finance, we do things differently. Our management commit significant capital alongside the bank, giving our team personal interest in the success of your development project. Furthermore, instead of pre-defined, potentially inflexible, criteria our knowledgeable team are able to approach each case on a bespoke basis. This means we can focus fully on your needs, not our lending criteria, and create a structure that suits you.

Typical individual loan facilities range from £1m to £15m with group exposure of up to £35m.


About

Heritable Development Finance was formed in 2013 as a joint venture between OneSavings Bank and Heritable Capital Limited.

We know that a specialist sector needs expert knowledge. Our team has years of experience working for a number of niche development funders.

Our list of clients features experienced property developers and small to medium-sized housebuilders with proven track records. The projects we fund include new build houses and flats, conversions and refurbishments - including mixed use opportunities.

About

About

Heritable Development Finance was formed in 2013 as a joint venture between OneSavings Bank and Heritable Capital Limited.

About

We know that a specialist sector needs expert knowledge. Our team has years of experience working for a number of niche development funders.

Our list of clients features experienced property developers and small to medium-sized housebuilders with proven track records. The projects we fund include new build houses and flats, conversions and refurbishments - including mixed use opportunities.

Why Heritable?

Director involvement

Our Directors provide significant equity to the business, giving them personal interest in your project’s success. You will be allocated a Director and Senior Executive from the outset providing you with immediate access to decision makers.

Flexible, bespoke criteria

We have an experienced, knowledgeable team who aren't tied down with pre-defined lending criteria. This means we’re able to get to the heart of what you need and create a structure that suits you and the project at hand.

Fast deal turnaround

Bespoke structures don’t mean delayed results. We know good opportunities need to be seized quickly to enable you to move forward assertively. The structure of Heritable means we are able to provide timely, board level decisions.

Beneficial relationships

With Heritable Development Finance, you won’t be passed from team to team. Your allocated Director and Senior Executive will oversee your loan from origination through to drawdown and repayment. This means you receive personal support throughout the process and always know who to talk to.

Expertise and consistency

Our team consists of executives with considerable property knowledge and experience across the length and breadth of the development sector. We use our insight to provide a consistent, reliable and responsive lending approach.

Long term relationships

We see ourselves as true relationship lenders. We remain in close contact at all times, involving regular site visits and meetings to ensure we are meeting your financial needs. As a result, we build strong, lasting relationships and are proud to play a part in helping our clients grow.

Why Heritable?

Director involvement

Our Directors provide significant equity to the business, giving them personal interest in your project’s success. You will be allocated a Director and Senior Executive from the outset providing you with immediate access to decision makers.

Expertise and consistency

Our team consists of executives with considerable property knowledge and experience across the length and breadth of the development sector. We use our insight to provide a consistent, reliable and responsive lending approach.

Fast deal turnaround

Bespoke structures don’t mean delayed results. We know good opportunities need to be seized quickly to enable you to move forward assertively. The structure of Heritable means we are able to provide timely, board level decisions.

Beneficial relationships

With Heritable Development Finance, you won’t be passed from team to team. Your allocated Director and Senior Executive will oversee your loan from origination through to drawdown and repayment. This means you receive personal support throughout the process and always know who to talk to.

Long term relationships

We see ourselves as true relationship lenders. We remain in close contact at all times, involving regular site visits and meetings to ensure we are meeting your financial needs. As a result, we build strong, lasting relationships and are proud to play a part in helping our clients grow.

Flexible, bespoke criteria

We have an experienced, knowledgeable team who aren't tied down with pre-defined lending criteria. This means we’re able to get to the heart of what you need and create a structure that suits you and the project at hand.

Our Development Finance Options

Residential case study: Southampton Close

What our client needed
Our client was planning to buy a site near Southampton with outline planning consent for circa 100 units which were to be split between private and affordable renting.

How we helped
We provided our client with a 30 month revolving facility loan of £13m. This provided the necessary flexibility to borrow less and more according to the fluctuating needs of the project.

The results
When detailed consent was granted and a Housing Association signed up for the affordable element of the project, we provided the client with a build facility loan and enabled them to move onto the phased development of the private units.

Residential case study: Huntingdon Close

What our client needed
The team at Campbell Melhuis and Buchanan was looking to purchase a site near Huntingdon with a detailed planning consent for circa 56 units, both private and affordable.

How we helped
We approved and provided a 30 month revolving facility of £13m, allowing the company to move forward with their plans.

The results
A Housing Association signed up for the affordable element of the scheme, meanwhile the build facility was made available for the phased development of the private units.

Residential development finance

Our core business is funding residential and mixed use development. We provide senior debt for new build developments, conversions of existing buildings and refurbishments.

Our loans typically range from £1m to £15m with group exposure of up to £35m. However, we are able to provide stretched funding to customers with a particularly strong record who are seeking funds for highly profitable developments.

Working closely with developers and housing associations, we understand the complex funding arrangements that can arise and are able to work around situations to maximise your equity.

We specialise in providing revolving debt facilites to small and medium sized house builders to assist with the phased development of houses schemes, across the country.

Case studies

Residential

Planning gain case study: South-West London Close

What our client needed
Our borrower was looking to purchase a site with limited Existing Use Value (EUV) in South West London and needed financial support with 60% of the purchase price.

How we helped
Our experienced team were able to understand that the EUV of the property was not necessarily reflective of its potential following a change of use, and granted the loan. We provided our client with £1.5m over 12 months – the required 60% of the purchase price – which allowed the purchase of the property.

The results
Two planning applications were permitted: one to allow the demolition of the block of flats and building of a mixed-use block containing a retail unit and eight flats above; a second for an additional flat above.When all planning was in place – and prior to development – the property was sold.

Planning gain finance

Our team regularly use their insight into the increasingly complex area of planning gain to help experienced property developers fund the purchase and assembly of sites ahead of a change of use.

Typically we provide 60% of the purchase price of the land.

We fully understand that the existing use value of a given site does not always reflect its full potential. Our team is experienced enough to recognise these cases and provide funding when others may not.

Case studies

Planning

Commercial development loans

Our commercial loans can help developers whether it involves speculative and pre-let commercial developments, or refurbishment loans in the office and industrial sectors. We normally require an element of pre-lets or pre-sales on development projects of this nature.

Heritable Development Finance Limited will consider assisting experienced commercial developers with projects which are largely pre-let or pre-sold to strong tenants. Typically we will consider funding a maximum of 70% of Gross Development Value (typically 90% plus of costs).

Commercial
Residential

Residential development finance

Our core business is funding residential and mixed use development. We provide senior debt for new build developments, conversions of existing buildings and refurbishments.

Our loans typically range from £1m to £15m with group exposure of up to £35m. However, we are able to provide stretched funding to customers with a particularly strong record who are seeking funds for highly profitable developments.

Working closely with developers and housing associations, we understand the complex funding arrangements that can arise and are able to work around situations to maximise your equity.

We specialise in providing revolving debt facilites to small and medium sized house builders to assist with the phased development of houses schemes, across the country.

Case studies

What our client needed
Our client was planning to buy a site near Southampton with outline planning consent for circa 100 units which were to be split between private and affordable renting.

How we helped
We provided our client with a 30 month revolving facility loan of £13m. This provided the necessary flexibility to borrow less and more according to the fluctuating needs of the project.

The results
When detailed consent was granted and a Housing Association signed up for the affordable element of the project, we provided the client with a build facility loan and enabled them to move onto the phased development of the private units.

What our client needed
The team at Campbell Melhuish and Buchanan was looking to purchase a site near Huntingdon with a detailed planning consent for circa 56 units, both private and affordable.

How we helped
We approved and provided a 30 month revolving facility of £13m, allowing the company to move forward with their plans.

The results
A Housing Association signed up for the affordable element of the scheme, meanwhile the build facility was made available for the phased development of the private units.

Planning

Planning gain finance

Our team regularly use their insight into the increasingly complex area of planning gain to help experienced property developers fund the purchase and assembly of sites ahead of a change of use.

Typically we provide 60% of the purchase price of the land.

We fully understand that the existing use value of a given site does not always reflect its full potential. Our team is experienced enough to recognise these cases and accept cases others may not.

Case studies

What our client needed
Our borrower was looking to purchase a site with limited Existing Use Value (EUV) in South West London and needed financial support with 60% of the purchase price.

How we helped
Our experienced team were able to understand that the EUV of the property was not necessarily reflective of its potential following a change of use, and granted the loan. We provided our client with £1.5m over 12 months – the required 60% of the purchase price – which allowed the purchase of the property.

The results
Two planning applications were permitted: one to allow the demolition of the block of flats and building of a mixed-use block containing a retail unit and eight flats above; a second for an additional flat above.When all planning was in place – and prior to development – the property was sold.

Commercial

Commercial development loans

Our commercial loans can help developers whether it involves speculative and pre-let commercial developments, or refurbishment loans in the office and industrial sectors. We normally require an element of pre-lets or pre-sales on development projects of this nature.

Heritable Development Finance Limited will consider assisting experienced commercial developers with projects which are largely pre-let or pre-sold to strong tenants. Typically we will consider funding a maximum of 70% of Gross Development Value (typically 90% plus of costs).

Get in touch

For more information or to submit an application, please see our details below

Contact Information

Contact

020 7042 5070

Location

Heritable Development Finance
85 Newman St,
Fitzrovia
London
W1T 3EU

Get in touch

For more information or to submit an application, please see our details below

Contact Information

Location

Heritable Development Finance
85 Newman St,
Fitzrovia
London
W1T 3EU

Contact

020 7042 5070

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