"The majority of these latest transactions come from repeat borrowers, and this is testament to the quality of our product, our speed of delivery and the deep client relationships our team has established"
- Simon Brown - Zenzic Development Finance
Zenzic Development Finance (ZDF), the residential development finance arm of real estate credit manager Zenzic Capital, has provided approximately £13 million in development loans to support the construction of 50 residential open market properties across three UK projects.
This follows ZDF’s May announcement of a three-year £45 million funding facility from UK challenger bank Cynergy Bank, aimed at tripling lending volumes in 2025.
The three schemes, two involving existing SME housebuilder clients, have a combined gross development value (GDV) exceeding £17 million. They include:
Development of 41 new detached and semi-detached homes for sale in Stalmine, Lancashire (pictured), funded through a roughly £8 million dual-tranche loan with stretch senior and mezzanine facilities
Construction of six homes for sale in Belchamp St. Paul, Essex, with one already forward sold
Development of three five-bedroom houses in Bestwood Village, Nottinghamshire
ZDF focuses on residential-led schemes, providing SME housebuilders and developers with up to 75% loan-to-GDV and 90% loan-to-cost stretch senior development finance, as well as up to 85% loan-to-GDV and 90% loan-to-cost mezzanine finance.
“With the demand for housing outstripping supply across the UK, the development of new homes is vital," noted Simon Brown, head of lending at Zenzic Development Finance. "The majority of these latest transactions come from repeat borrowers, and this is testament to the quality of our product, our speed of delivery and the deep client relationships our team has established,"
“These latest loans build on the positive momentum following our announcement in May that we have secured a new funding line with Cynergy Bank, which enables us to accelerate our lending volumes and tap into the wall of demand from SME housebuilders for financing, particularly at higher LTVs where the impact of the retrenchment of traditional high street banks is most acute.”
