Avamore has completed its first deal in Birmingham – a £1.8m finish and exit transaction involving a four-storey, 11-unit mixed development.
The lender said the deal reflected existing market dynamics with the regions showing strong signs of growth and developers needing to finish final works and further time to complete a suitable exit.
The Birmingham development includes seven town houses, three individual apartments and one office located in the city’s Jewellery Quarter.
It was introduced by Nicholas Christofi, co-founder of Sirius Property Finance and is the first transaction which Avamore and Sirius have worked on together.
Northwood Street Developments is building the project and has a portfolio of around 1,200 units completed outside of London.
Business moves and Brexit
Avamore said one reason for greater buyer demand was businesses increasingly opening offices in regional cities that offer more attractive and affordable living prospects.
“Furthermore, on the developer side, Brexit uncertainty is driving labour shortages, cost over-runs and unexpected delays,” it said.
Senior underwriter Philip Gould said it was the first deal he had closed since joining Avamore.
“With any finish and exit, there were a number of factors to consider however, the team took a collaborative and dynamic approach to get the deal over the line,” he said.
“We are probably the most experienced lending team in the market when it comes to finish and exit schemes and in addition to that we offered competitive leverage on the deal at a very attractive rate.”
Owain Thomas is features and contributing editor of Mortgage Solutions and editor of Specialist Lending Solutions.
He also has experience in the protection, pensions, workplace benefits and HR areas.
Owain has won two Headline Money Awards and the Protection Review’s Journalist of the Year award.