The property development sector is one that has understandably struggled in recent months. Whilst it was initially helped with the Government backed CBILS property development finance loan pot of £50 million, this funding was quickly used up leaving businesses to struggle. The good news is that additional funding has now been made available and there are some boutique lenders who are able to assist more property developers, however again there is a short window of opportunity to take advantage of this money.
Some of the key features of the property development CBILS is:
- Release up to £5m per site
- All lenders fees and interest will be covered by the government for the first 12 months
- You can obtain funding of up to 75% of the site value
Eligibility is very simple, you qualify if:
- You are based in the UK
- You fit in to the small business category of being a house builder, developer or investor
- You can self-certify that your business has been affected by COVID-19
The CBILS for property developers is a great funding facility. Upon completion of a property development there is usually a gap in cashflow whilst properties are sold. CBILS will help to ensure that this shortfall is avoided and new projects can be initiated without having to panic about previous project commitments.
The NGI team have access to some boutique CBILS property lenders to help ensure a successful application. To discuss this further please call us on 01993 706403 or e-mail firstname.lastname@example.org.