1. Efficient and flexible service
2. Terms from 1 to 24 months
3. Day one LTV up to 70%
4. LTGDV up to 65%
5. We can lend up to 100% development costs
6. Over 25 years of lending experience
TAB’s property development finance is a short-term funding solution for up to 24 months for projects based in London and the home counties. TAB property development loans are designed to unlock capital to assist with ground-up developments, conversions, heavy and light refurbishments and finish and exit property projects.
TAB lends directly to borrowers and through intermediaries. We offer loans up to 65% of the gross development value of your project, including the cost of borrowing. The maximum loan to cost can be up to 100% for the appropriate project. Our experience means we can be flexible with our valuations and consider projects that more traditional lenders would not. We pride ourselves on trust and transparency.
TAB loans are unregulated. Any property used as security is at risk of repossession if you do not keep up with your payments.
Other charges may apply
Property development finance is a short term loan for residential or commercial property developments, such as ground up construction projects or refurbishment projects, typically based on the future value of the development when completed - gross development value (GDV).
You might opt to use property development finance over a bank loan as the larger banks are constrained to box-ticking when it comes to lending and it can be extremely difficult to source development finance. Finance for property development is a bespoke product and has specialist teams working behind the scenes to understand all of the risks and parameters that need to be considered when lending. It’s essential for lenders to have complete oversight of the project and often these high street banks do not have the time, nor expertise to understand financing property development and the nuances between projects.
Both are forms of alternative finance, but it is better to look at development finance and bridging finance separately. Residential Bridging loans are commonly used to ‘bridge’ a gap, such as purchasing a property when the previous hadn’t sold. You can release the equity on your current property, allowing you the finance to secure another. So, where bridging finance is used to purchase a property, development finance is better suited to adding value to the property, whether that’s building from scratch, renovating or carrying out a change of use.
Kingston upon Thames, London: The client required a first charge development loan of £685,000 in tranches to develop of two, four-bedroom houses. The development had already started and TAB advanced the initial funds to clear the original property purchase debt and fund the next stage of construction. TAB provided the loan at a 51% LTGDV for 9 months with an agreed exit strategy of refinancing to a buy-to-let mortgage.
The loan is then matched with investors on the TAB platform. Funds are typically available within just 14 days
Enquire below to find out more about TAB's property development funding.
TAB knows the value of keeping things simple and transparent for everyone. Whatever the size or scope of your plans, our expert team of underwriters, business development managers, and an in-house legal team are here to help with your requirements. Book a meeting with one of our team today.