MSP Capital lends £11 million in biggest property deal to date

NEW HOMES. Construction timescales on the Swanwick Fields housing development in Derbyshire are being supported through an £11 million loan from property finance specialist MSP Capital.
NEW HOMES. Construction timescales on the Swanwick Fields housing development in Derbyshire are being supported through an £11 million loan from property finance specialist MSP Capital.

A property finance specialist has completed its biggest development deal since it was founded 40 years ago.


MSP Capital agreed an £11 million loan to enable a 43-home scheme to come to fruition on a previously disused piece of land.  


The move caps a record year of growth for the Poole-based company with its loan book first breaking the £250 million threshold and now standing at just over £0.3 billion with contracted commitments.  


The new scheme, Swanwick Fields near Alfreton in Derbyshire, is a ground-up development that has required refinancing to keep build timescales on track.
MSP Capital agreed the loan with East Midlands housing developer Fairgrove, whose Managing Director Stephen Midgley said: “Our original funding was expensive and was restricting the speed of build so we had been looking for some time to refinance.


“When I spoke with MSP in early August, we provided them with all the figures and what we wanted to do.


“Within three weeks we had an acceptable offer. Four weeks later we have completed on the deal.


“I was particularly impressed that MSP’s Managing Director Martin Higgins personally worked on the figures over a weekend to enable the timescales we were working towards.”


Swanwick Fields is one of the larger schemes that family-run Fairgrove has developed since it was formed in 1995.


Stephen added: “It is a scheme that has been 15 years in the planning.  When I first saw the site all those years ago it was unused land owned by a local businessman who needed to expand his nearby factory.


“Due to the sloping nature of the site, I had suggested it would be more suitable for housing and eventually the planners agreed.


“So through the sale of the site, he now has the ability to move his factory to a more suitable location, and we’re able to build 43 family homes.”


Martin Higgins said: “Our team at MSP Capital have worked seamlessly to strengthen our reach and resilience through what has been such an uncertain time for a lot of industries.

“Thanks to everyone’s input we have the lending power behind us to lend on deals like this, together with the technology and infrastructure to back it up.

“We’re on track to achieve our goal of a loan book worth £0.5 billion by the end of next year.”

Completion of the Swanwick Fields homes, a mix of four and five bedrooms, is expected in the second half of 2022.


Sales have already been achieved for some of the properties as they are being built out in a phased allocation.   


According to official government figures, nearly 50,000 new homes were built in England during the first three months of 2021, the highest level in over 20 years.   

 

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