Client type: Experienced, existing client
Loan type: Cross collateralised funding
Amount lent: Just under £600,000
Location: Stockport, Manchester
Units Built: Two houses
The challenge: An experienced client was partway through a development scheme in Stockport and needed additional funding to acquire a nearby site and cover build costs for two new houses.
What they needed:
- Flexible funding that could be secured alongside their existing facility, without exceeding a safe lending threshold
- Simultaneous development of multiple properties.
Our approach:
Goldentree structured a cross-collateralised facility, linking the new funding to the client’s existing loan. Our team assessed overall exposure to ensure it remained within prudent limits while allowing the client to progress efficiently.
Our experienced team:
- Worked closely with the client to structure a secure, flexible solution
- Guided them through the cross collateralisation process
- Ensured all regulatory and risk considerations were met
Funding solution:
New facility was cross-collateralised with the client’s existing loan, keeping total exposure below 72.9% LTV. This approach allowed funding for both site purchase and construction costs without compromising risk controls.
The result:
Both houses were complete ahead of schedule, sold successfully and the client repaid Goldentree in full enabling continued development growth.