Background

Pinemont was approached by a builder/developer who had placed a deposit on a site which formed the unbuilt portion of a housing estate with a capacity for 40 units. The site had lapsed planning permission but was well situated. The builder was in an advanced discussions with a housing agency to sell the entire completed development but the housing agency would not deal with the developer until he had ownership. The builder was experiencing delays in securing debt finance from his regular bank.

Result

Pinemont financed €1,800,000 of the transaction being 70% of the valuation for 6 months allowing the borrower to make an agreement with the housing agency and therefore secure finance from his regular bank. Pinemont placed the finance in 10 working days.

Another successful outcome for the builder, saving his deposit of €260,000 and securing the opportunity to make a significant development profit.