Traditional Bank Lending to Property Developers falls substantially
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Great article in Estates Gazette, we on the Banking and Real Estate Finance team here at Howard Kennedy can support the claims we are acting for more and more non traditional lenders from debt funds, bridging companies, peer to peer lenders, foreign listed companies and crowd funding.
Bank lending to property developers falls 54%
By Karl Tomusk | Institutional | Investment/finance | 20-06-2016 | 12:37
Bank lending to property developers has fallen 54% in the UK over the past two years.
According to a study by property funding platform Saving Stream, bank lending in the industry has shrunk from £35.5bn to £14.9bn between April 2014 and April 2016, with alternative investors filling the gap....
But while bank loans have slumped, the study showed that debt funds and peer-to-peer lending have been on the rise as lenders are able to get returns of up to 12% on their investments in property.