Avamore Capital has announced that it has completed a £4.4 million refinance facility to support a residential development in Shoeburyness, Essex, allowing an experienced developer to refinance within a tight deadline and move the scheme into construction.
The transaction highlights the lender’s approach to structuring development finance around delivery risk, particularly where timing and flexibility determine whether a project can proceed.
“In today’s development finance market, the ability to move decisively and take a commercial view is more important than ever,” said Adam Butler, director of sales and marketing at Avamore Capital (pictured).
“Experienced developers don’t always fit neatly into rigid lending frameworks, particularly when timing is critical. Our role is to understand the fundamentals of a scheme and the capability behind it, and then structure funding that allows projects to move forward rather than stall.”
The borrower is an established residential developer with a strong local track record. The client previously delivered a nearby scheme of terraced houses that achieved sales values in line with forecasts for the new project. That performance provided confidence in both construction capability and exit pricing.
The development itself is a small family housing scheme with full planning consent and a design aimed at owner-occupiers. Avamore’s facility supports both site acquisition and build costs, with the project targeting a gross development value of approximately £4.4 million.
Key features of the scheme include:
Full planning approval for a residential-led development.
Design focused on modern family housing for owner-occupiers.
Funding structured to cover acquisition and construction costs.
The refinancing requirement arose after the borrower secured short-term debt against the site once planning permission was granted. As that facility approached expiry, the developer needed to refinance within a fixed timeframe to avoid penalty charges and prevent disruption to the construction programme.
Avamore Capital worked with the borrower to structure a solution that could be delivered quickly. By taking additional security across the wider group, the lender refinanced the existing debt and provided certainty at a critical stage of the project. A streamlined legal process helped maintain momentum and reduce the risk of delays.
“This was a strong scheme backed by a developer with clear and relevant experience,” said Spencer King, underwriter at Avamore Capital. “The key challenge was the timeframe, and by focusing on the fundamentals of the deal and taking a pragmatic view on structure and security, we were able to deliver a solution that worked for the client.”
