Episode 35 - Tuesday 13th October

Developer Exit, Development Finance and Regulated Bridging: £6.6m in Specialist Lending Transactions

This week's Tuesday's Top Transactions highlights three completed facilities totalling approximately £6.6m across developer exit finance, residential development funding and regulated bridging.

Featuring Inspired Lending, Pallas Capital and Glenhawk, the transactions demonstrate how specialist lenders are helping borrowers release capital, restructure existing facilities and secure additional time to achieve their intended exits.

From refinancing the final units of a completed residential scheme to funding the next phase of a development, each transaction highlights the importance of adaptable lending structures and a clearly defined repayment strategy.

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Inspired Lending Completes £822k Developer Exit Facility in South East London

Transaction overview

• Lender: Inspired Lending.

• Facility: Developer exit finance.

• Loan size: £822,000.

• Location: Sydenham, South East London.

• Term: 12 months.

• Loan-to-value: 70%.

• Rate: 0.89% per month.

Inspired Lending completed an £822,000 developer exit facility for an SPV borrower, secured against the final two flats within a newly constructed eight-unit residential scheme in Sydenham.

With six units already sold and the remaining two on the market, the developer had substantial equity tied up in the completed project.

The 12-month, first-charge facility refinanced existing borrowing and released capital for other developments already underway.

Rather than waiting for the final two sales to complete, the borrower could redeploy funds across their wider development pipeline while retaining a clear exit through the sale of the remaining units.

Gavin Diamond, CEO of Inspired Lending, highlighted how developer exit finance can help borrowers unlock capital from substantially sold schemes and maintain momentum between projects.

Deal team

• Gavin Diamond - CEO, Inspired Lending.

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Pallas Capital Provides £3.9m Development Finance Facility in Shropshire

Transaction Overview:

Transaction overview

• Lender: Pallas Capital.

• Facility: Development finance.

• Loan size: £3.9m.

• Location: Near Market Drayton, Shropshire.

• Term: 16 months.

• Loan-to-gross-development-value: 65.5%.

Pallas Capital completed a £3.9m development finance facility to refinance the completed first phase of a residential scheme near Market Drayton and fund construction of its second phase.

The development will comprise eight homes across both phases, with properties from the completed first phase being brought to market.

Following the valuation, Pallas Capital revised its original structure to include the borrower's existing residential portfolio in Stone, Staffordshire, as additional security.

This required updated legal and valuation instructions, alongside coordination with the previous lender to help the borrower avoid further charges associated with an expired facility.

The transaction completed approximately four weeks after terms were agreed.

Mark Witherington, Senior Originator at Pallas Capital, emphasised the importance of working closely with borrowers to structure facilities around the circumstances of individual developments, particularly where standard lending criteria do not immediately accommodate a transaction.

The deal demonstrates how additional security, flexible underwriting and coordination between stakeholders can support development finance completions.

Deal team

• Mark Witherington - Senior Originator, Pallas Capital.

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Glenhawk Completes £1.9m Regulated Bridging Loan in Watford

Transaction Overview:

• Lender: Glenhawk.

• Facility: Regulated bridging finance.

• Loan size: £1.9m.

• Location: Watford.

• Loan-to-value: 66%.

Glenhawk completed a £1.9m regulated bridging facility secured against a converted residential barn in Watford.

The borrower had undertaken a substantial refurbishment, funded partly through a second-charge facility, and required refinancing while continuing to market the property for sale.

The new bridging loan repaid both the existing first and second charges, providing additional time to secure a suitable buyer.

With the property already on the market, the facility enabled the borrower to continue pursuing their intended sale price rather than accelerating the sale solely to meet an approaching repayment deadline.

The transaction was introduced by Paul Lefevre, Director at Happy Brokers, originated by Glenhawk BDM Ryan Brewer and progressed through underwriting and completion by the wider Glenhawk team.

Ryan Brewer highlighted increasing demand for sales bridging facilities where borrowers require additional time to market and sell residential assets.

The transaction demonstrates the role of regulated bridging finance in refinancing existing borrowing while providing flexibility around the timing of a property sale.

Deal team

• Ryan Brewer - Business Development Manager, Glenhawk.

• Ruth Griggs - Underwriter, Glenhawk.

• Rhiannon Kenny - Case Manager, Glenhawk.

• Paul Lefevre - Director, Happy Brokers.

What this week's transactions tell us about the market

This week's transactions demonstrate how specialist lending continues to support borrowers whose requirements extend beyond straightforward acquisition or development funding.

Across all three facilities, the common themes are capital efficiency, adaptable underwriting and the importance of a credible exit strategy.

Developer Exit Finance Is Helping Release Capital

Inspired Lending's transaction illustrates the value of releasing equity from completed residential developments before every unit has sold.

For developers managing several projects simultaneously, the ability to access capital tied up in finished stock can help support cash flow and maintain momentum across their pipeline.

Development Finance Requires Flexible Structuring

Pallas Capital's £3.9m facility demonstrates how lending requirements can evolve during the underwriting process.

Additional security, revised valuations and existing borrowing arrangements can all influence how a facility is structured.

Lenders that can respond to these circumstances while maintaining appropriate risk controls may be better positioned to support complex development projects.

Regulated Bridging Is Providing Time to Achieve Sales

Glenhawk's transaction highlights the role of regulated bridging in situations where borrowers have a defined sale strategy but need additional time to complete it.

Refinancing existing charges can provide breathing space, allowing borrowers to continue marketing an asset without the immediate pressure of an approaching repayment deadline.

The Wider Market Takeaway

What stands out this week is that specialist finance is not simply about providing capital.

It's about understanding the borrower's wider commercial objective and structuring facilities accordingly.

Whether that's releasing funds from completed stock, refinancing a development to support its next phase or allowing additional time for a residential sale, lenders are demonstrating how tailored solutions can help borrowers progress.

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Why these Transactions Matter

Tuesday's Top Transactions showcases completed lending deals across the UK real estate finance market, highlighting the lenders, brokers and professionals behind them.

Each episode provides insight into activity across bridging finance, development finance, commercial mortgages and specialist lending, including how facilities are structured and where lenders are demonstrating their appetite.

At Fintelligent, we work closely with businesses across real estate finance, supporting recruitment across business development, origination and senior leadership.

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Have a Transaction Worth Sharing?

If you've completed a notable real estate finance transaction and would like it featured in a future edition of Tuesday's Top Transactions, we'd love to hear from you.

Sharing successful deals helps showcase innovation across the market while providing valuable insight for brokers, lenders and property professionals following the latest lending activity.

To submit a transaction for a future episode, contact Owen here:

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