BridgeIT-Lend | Mezzanine Finance
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Mezzanine Fundingfor Small to Medium Sized DevelopersMezzanine funding is the critical funding of the shortfall between the finance available from your bank and the capital required for a property development project.
Typically up to 20% of the total project costs.This enables the developer to limit their equity to 10% of total costs.
We are lenders that provide property developers with Mezzanine Funding from £100,000 to £1.5 MILLION+.Learn More
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Why use Mezzanine Funding?By using this type of funding the developer has the opportunity to:• Double the return on their equity.• Spread the risk over multiple projects.• Increase their development capacity.• Accelerate their business growth.Mezzanine Finance could theoretically treble development capacity, i.e. for every £100,000 of equity a developer has available, the “mezzanine contribution” could be £200,000.Funding Offers
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What we Offer• Funding of up to 20% of costs.
• Funding facilities from £100,000 to £1,500,000+.
• Competitive terms and rolled up interest.
• Decision in one week – provide funding in 28 days.
• Selection of prime lenders providing up to 70% of cost.
• Mezzanine funding available from day one.
70%20%10%Prime Lender = 70%
Mezzanine Funder = 20%
Developer = 10%What's the Criteria?
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Lending CriteriaDeveloper equity contribution of a minimum of 10% of the total property development cost, or able to provide alternative security.• Developers with a track record.
• Residential development only.
• Single property build projects.
• Residential development projects, 20+ units.
• Planning permission in place.
• Mezzanine Funding from £1 to £1.5 MILLION+
• Planning/Valuation gain considered as equity.START YOUR APPLICATION TODAYSee a Case Study
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Case StudyWest LondonProject GDV: £4.5 million - Mezzanine Funding Facility: £570,000
Funding Security: Second charge with an agreed Deed of Priority Facility
Period: 12 monthsThis exceptional development of eight luxury apartments is a great demonstration of how to convert what was originally two Victorian shop front buildings. All units sold, the development achieved a GDV in excess of £4.5 million: individual apartments priced from £465,000 to £760,000.
We provided mezzanine funding totalling £570,000 to our experienced developer clients whom took full advantage of the two former mixed use buildings. The re-design required the demolition of the rear facades, all floors and the roofs. The new scheme provided four flats in each building with one on each floor. All flats were designed with outdoor space, the top floor one beds with balconies, the ground and first floor with generous terraces and the 2 lower ground floor flats with large gardens.The result is a stunning block of apartments that retain the original character of the building combined with modern, contemporary styling and exceptional finish.
- Case StudyWest LondonProject GDV: £4.5 million - Mezzanine Funding Facility: £570,000
Funding Security: Second charge with an agreed Deed of Priority Facility
Period: 12 monthsThis exceptional development of eight luxury apartments is a great demonstration of how to convert what was originally two Victorian shop front buildings. All units sold, the development achieved a GDV in excess of £4.5 million: individual apartments priced from £465,000 to £760,000.
We provided mezzanine funding totalling £570,000 to our experienced developer clients whom took full advantage of the two former mixed use buildings. The re-design required the demolition of the rear facades, all floors and the roofs. The new scheme provided four flats in each building with one on each floor. All flats were designed with outdoor space, the top floor one beds with balconies, the ground and first floor with generous terraces and the 2 lower ground floor flats with large gardens.The result is a stunning block of apartments that retain the original character of the building combined with modern, contemporary styling and exceptional finish.
