| Press Release: £7.4m residential property facility London, 29 July 2008 | ||
Red Chilli Structured Finance announced today that it had arranged a £7.4m re-finance facility for a large developer and investor in one of the major regional city centres. Dorothee Queyroux, Senior Broker at Red Chilli Structured Finance stated ”when the 152 unit development was physically completed, the developer took the decision to retain a number of apartments as an investment. The flats were initially up for sale but following the credit crunch, holding 22 of those apartments as long term investments suited the company’s strategy. Although the apartments were vacant, we were able to demonstrate rental demand and arranged the facility with a guarantee from the developer in order to support the interest payment until the rent could service the debt.” The company took the view that, as a result of the current constraints in the mortgage market, rental demand was likely to grow stronger and the logical approach was to take a long term view. The takeout facility Red Chilli was able to arrange achieved that objective.
Red Chilli Structured Finance is an independent property finance advisory firm specialising in arranging funding for property projects in the UK and all over Europe. Call us on 0845 210 5000 to discuss your funding requirements www.redchilli.com
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