Sourced Capital funds luxury homes in Lancashire
Property investment platform Sourced Capital has completed funding for a luxury homes in Lancashire.
The fintech funding arm of Sourced Group has loaned nearly £900,000 to finance the development of four five-bedroom detached houses near Chorley in Lancashire.
The loan has a term of 15 months with a loan to gross development value of 69%.
Investors will receive a targeted return of 10-12 per cent per annum, with the higher rate applicable to investments of £20,000 and above.
Derek Pratt, Commercial Director at Sourced Capital, said: “Property investment has long been a popular choice for investors interested in the comfort of tangible asset values.
“Given the combination of Peer-to-Peer providing the ability to easily diversify exposure across a portfolio of properties and rising inflation causing investors to review their strategies to avoid net value erosion, it is no surprise to see increasing investor interest in the P2P sector.”
The first tranche will support the purchase (enabling first charge security to be held), with the remaining loan proceeds released periodically as the development progresses satisfactorily. The second tranche will then provide the remaining funds required to complete the development.
Sourced Capital has returned over £15m to investors since its inception in 2019 and has funded more than £25m of loans for property developments across the UK.
“We are lending to support a wide range of property transactions including ground-up developments, conversions, and refurbishments,” added Derek.
