District & County Investments (DCI) has funded a £2.95m net bridging facility for a developer regenerating a brownfield site in Liverpool city centre.
The deal was structured as a planning bridge, providing the developer with funding while Building Safety Regulation (BSR) requirements were being discharged ahead of an exit onto development finance. Once complete, the scheme will deliver more than 150 apartments in the city centre.
DCI was brought in on a tight timeframe, completing the transaction within 14 days of credit approval. The borrower is an award-winning local developer backed by experienced sponsors with a strong track record of delivery.
Michael Clifford, commercial director at District & County Investments, said planning delays following consent are becoming an increasingly common challenge for developers. "We are seeing more and more developers face post-planning delays, and our planning bridge finance can help them acquire or refinance a consented site while they progress the technical work needed for a development finance exit," he said.
"In many cases, developers are being asked to commit more capital after planning permission has been granted, but before a development finance facility is ready to drawdown. However, our experience and net lending model enabled us to make a straightforward lending decision and provide funding quickly."
The case illustrates a growing pattern in the bridging finance market, where developers require short-term capital to bridge the gap between planning approval and development finance drawdown, particularly as BSR compliance adds time and complexity to schemes above certain thresholds.
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