Two Scottish Development Deals Completed in Same Month

Holmehill Lodge

Historic lodge is brought back to life after years of neglect.

Holmehill Lodge has lain derelict for many years.  Castlehill Capital were happy to be involved in resurrecting this once fine county manor.

The project focused on the Gamekeeper’s house on the outskirts of the grounds.  Planning was granted for a neat 3 bedroom house.  The initial Lodge belonged to the famous Glaswegian businessman James Templeton who owned one the most impressive factories in the UK at the time on Glasgow Green.

The property has been neglected and our client spied an excellent opportunity to convert some of the historic grounds into a family friendly home.

We also assisted on the same clients project down the road at Stirling where she was converting a former pub into student accommodation.

Always great to be involved in good Scottish property development projects.

 

 

CBILS loan for residential property in Warwick.

 

Castlehill Capital were delighted to assist our client with securing CBILS funding for one of their B2L properties.

The government backed funding helped refinance one of the properties in their portfolio onto a non interest bearing loan for 12 months.  This provided breathing space to get the property finished and rented out before securing a sale or refinance with high street lender.

The CBILS deadline was fast approaching so we needed to work quickly with the CBILS appointed lender and the borrower’s legal team.

 

First Bridging Loan of 2021 Completed

Palace Road

CGI of new property planned for Palace Road project.

Absolutely delighted to get funding for this residential project in Brixton completed to kick off 2021.

Castlehill Capital had been in discussions with client for over 6 months regarding this project and time was ticking until the intilal planning consent expired.

However, a monumental effort by the client and some of the lending staff over the festive period ensured that the funding was ready in time to break ground and crystallise the planning consent.

An irregular shaped plot required some inventive design to allow for 3 properties to be accommodated and consented by the local planning officer.  Yet again , it was another first time developer we assisted on this project.  Their clear command of the project and it’s requirements gave everybody comfort to proceed with the funding.

An initial £700k was provided to assist with the purchase and 1st phase of works. With a further £1m available as the project progresses.

Former Beachfront Hotel Converted into 14 Flat Residential Scheme

Bridlington hotel to be brought back to former glory as residential scheme 

A wonderful late 19th century building close to the beachfront of Bridlington was our latest project with a long time builder client.

The client had already purchased the property and was well through an extensive refurbishment programme which included much structural work, a new roof and restoration of the front facade.  Formerly a 25 bed hotel, the client had planning permission to convert into 14 residential flats.

Much of the client’s own funds had been invested in the project so far and he needed a loan facility which enabled him to complete the remaining £280k of works.

A previous lender had been involved but had only provided an inflexible bridge facility which didn’t enable the client to drawdown further funding in a smooth and easy fashion.

Castlehill Capital arranged a loan facility which redeemed the existing 1st charge lender and provided a 2nd tranche of development funding to drawdown as work progressed.

The client had also been servicing the initial bridge loan therefore, the new facility with rolled up interest really improved monthly cashflow for the client.

 

Edinburgh Property Developer Completes on Commercial Property with £300k Bridge Loan

43-45 Comley Bank Place

Edinburgh property developer secures £300k of funding for project in Stockbridge

We’ve noticed a recent increase in projects in Edinburgh over the last few months.  One of our favourites neighbourhoods is Stockbridge and Castlehill Capital were delighted to be involved in funding a residential project there.

The property had a mixed use classification which initially posed some issues but these were quickly dealt with before full consent was granted for conversion to an all residential classification.

This loan application involved another first time property developer and we were delighted to finally get the funding over the line.

Along with minor issues with the mixed use classification there was also the business case of a serviced accommodation to assess. Our client had put together a convincing proposal and we were happy to back his vision.

 

Northampton Residential Development Funded For First Time Developers

Northampton property developers assisted by Castehill Capital on their first project.

Northampton is a town of over 200,000 and has become a regular location for Castlehill site visits these last few months.

We were delighted to fund the conversion of a former pub into a a residential flatted development. The first time developers were experienced B2L landlords but this was their first step into property development.

The project was not without it’s problems as the initial planning consent application was held up a number of months.  The team never lost hope and were delighted to be granted the planning consent a few weeks ago.

Previously we had completed the valuation, the monitoring surveyor report and much of the legal work.  The reports were refreshed and we proceeded to completion.

Hopefully this won’t be our last project in this lovely town.

£1.5m Development Loan in St Austell

£1.5m Development Loan for construction of 10 houses.

A tricky £1.5m development finance facility was completed with a regular client of Castlehill Capital.  This 10 residential unit scheme was their first ground up development – and it was this perceived lack of experience which posed the first hurdle.

At Castlehill Capital we work with all types of developers from 1st timers to experienced national house builders.  In this particular case, the lack of experience was mitigated by phasing the site so that the initial 5 units were completed and sold before continuing with phase 2.

The next problem to arise was that one of the pre commencement planning requirements hadn’t been satisfied despite work on the site having already commenced.  A ground contamination inspection had been undertaken but was unable to fully investigate the site due to an existing structure on the land.

The site was a former petrol station and some of the building still remained onsite and was used as a workshop by the developer to store equipment and provide facilities for the contractors.

We opened up dialogue with the council and were satisfied that the risk of contamination under the structure was minimal.  Maintaining and using the building instead of demolishing it was the preferred option for the developer as it saved costs and provided an area to store and cut the timber frames.

After this issue was resolved, the funds were drawn down quickly and the developer was able to refinance the existing 1st charge (which was on a much higher interest rate) and provide cashflow for the work to continue onsite.

We look forward to the first phase being completed at the end of the first quarter.

 

 

 

 

 

Speedy Land Loan in Cornwall

An urgent land bridge was completed and drawn down by Castlehill Capital within 6 working days.

The loan facility was used to provide much needed cash-flow for a site in progress in St Austell.  Work on the site had begun already – with foundations being dug and some of the timber frames having been erected.

Speedy Land Loan

A bridge loan was required to keep contractors onsite over the festive period.

The developer had funded the works and the purchase of the site from their own cash reserves.  While they waited on a development finance lender to underwrite the full development facility.

As this took longer than expected, cashflow became tight and the developer needed funds to help pay wages to keep staff and machinery onsite.

The last thing anyone wanted was the progress of the development to halt whilst the funding was sorted out.  Castlehill Capital were able to step in and offer the borrower a quick funding solution secured against the site.  Funds were drawdown 6 working days after initial enquiry providing much needed relief to relief  to the developer.

 

Commercial Property with Air Space Development

A well tenanted commercial property on a busy corner position within Bedford town centre was purchased with the help of Castlehill Capital.

Bridging loans

The property also offered an opportunity to develop the air space above it.

A £900k bridging loan was provided to our client who wished to purchase the property with 3 tenants including the NHS.  The property had added appeal for our clients as it provided an opportunity to develop the airspace above the existing structure.

Our builder client was aware of similar planning permissions being granted for airspace developments in close proximity in the Bedford area.  Therefore, they moved quickly to agree a purchase price and arranged a quick bridging loan to complete the purchase.

A planning application for 8 flats over 2 floors will now be made to the local authority.

Once planning consent is granted Castlehill Capital will also provide the build facility to enable the client to complete the build.

£10m Luxury Property Refinanced

Award winning property developer Guy Phoenix approached Castlehill Capital to assist with a refinance of The Hermitage – his stunning 7 bed state-of-the-art house in Edwalton, Nottinghamshire.

Bridging Loans

£4.2m refinance of existing bridge facility.

The luxury property market has been hampered by the ongoing Brexit negotiations.   The Hermitage had received offers but the borrower required more time in oder to fulfil the property’s true potential.

With the buying season over, it made sense to refinance the property and wait until spring next year to sell.

Castlehill Capital quickly arranged a net facility of £4.2m over 12 months.  Aided by the speed of the borrower’s solicitors – Castlehill were able to complete the loan in 10 working days.

A quick bridging loan which also reduced the monthly interest payments the borrower was servicing.