Hilltop Credit Partners has completed a sizeable loan for a new residential development in Ashford. Ashford is Kent’s number-one business location and one of the fastest-growing towns in the South East.
Funds advised by Hilltop have provided a £13.6m loan to Pascoe Property Developers Limited.
The transaction brings Hilltop’s overall funding commitments to SME developers over the past three months to approximately £16m.
Finance will be used for site acquisition and development of 93 residential units during three phases. It is also providing a bridge loan for the VAT payable, in conjunction with the site acquisition. All units will qualify for the Help to Buy scheme.
The development lies close to Ashford International Station, just a 35 minute commute to central London. Alongside lies the Ashford Design Outlet and a major new mixed-use development. This new scheme will provide comprehensive film and drama production facilities for companies including Netflix.
John Darling will manage the project. John is a 30-year construction industry veteran and recipient of multiple industry accolades, including the Chartered Institute of Building’s “Construction Manager of the Year”.
Commenting on the deal, Richard Pascoe, Director of Pascoe Property Developers Limited, said: “We are excited to partner with Hilltop on this development in a vibrant, rapidly growing area. Hilltop’s experience in real estate development and finance has been invaluable in making this deal work.”
Tiger Craft, CFO and Partner of Hilltop Credit Partners, commented: “We’re seeing strong demand for our product, and are pleased that the team we’ve built over the past two years is now functioning at full speed. We’re delighted to be providing support and funding for this exciting development. It’s been a pleasure to work with this talented management team. We look forward to doing more with them in the future.”
Following the general election in addition to the passing of the Brexit deadline, we see notably improved market sentiment and demand for capital from UK residential developers. The company’s Q1 actionable pipeline currently stands at around £40m.
“With the Corbyn tail risk off the table as well as a tangible “Boris Bounce” taking hold, we believe there are real positives to come in the year ahead” says Paul Oberschneider, CEO of Hilltop.