Case Study: Development Exit Bridging Loan in Edinburgh, Scotland

The Property Scenario

A property developer successfully completed the structural build of a premium flatted residential development in Edinburgh. While the asset was fully finished, the developer needed extra time to execute a premium marketing campaign and secure maximum sales values. With their high-cost development primary construction facility reaching its contractual maturity date, they required a rapid liquidity bridge to pay off the initial lender and protect their project equity.

The Financial Structure

Our specialist commercial advisory desk designed a compliant development exit bridge. We structured a new first-charge facility of £680,000 at a competitive 65% LTV against the open market value of the completed block. By matching the developer's criteria with a specialist Scottish panel lender, we secured a lower monthly interest rate of 0.61% with fully rolled-up interest over a flexible 12-month term.

The Exit Strategy & Completion

The transaction was fully funded within 12 working days, cleanly redeeming the original building facility. Over the next 9 months, the individual flats were sold to private buyers on the open market. The sales capital was utilized to pay off the bridging loan in full with zero early exit penalties.

Managing a property transaction under Scots Law? Explore our specialized Bridging Loans Scotland parameters, or visit our main Bridging Loans hub to view our wider lending panel criteria.