As a business, Signature has built a strong reputation for its client-centric approach, working alongside developers to provide short-term property finance on terms that prioritise their unique needs and requirements.

It’s this dedication to supporting clients that has allowed us to establish strong connections and nurture lasting relationships, securing repeat business with clients who require ongoing support as they continue to grow year on year. Once again this appears to be the case, as we recently agreed to provide a short-term development loan to an established Scottish developer, as part of a potential four-year agreement.

Having built a positive relationship with the client over the last three years, the firm approached Signature for short-term property finance to the tune of £601,170. This loan would be used to develop a large five-bedroom detached home – the first of four dwellings that permission has been granted for at the Glasgow site.

The project costs consist of a £200,000 purchase price, which the developer is funding from their own personal resources, in addition to £525,000 for the redevelopment and professional fees of £80,000, both of which will be covered by the loan. With a GDV of £925,000, the deal represents an important financial opportunity for the client, with three more deals of a similar value expected to follow in the years 2024-2026.

Given the client’s extensive development experience, they already have access to in-house labour and sub-contractors that have been relied upon previously. As such, most of the work will be carried out through the utilisation of these existing connections, with a completion date scheduled for approximately 27 weeks.

Meanwhile, the property itself will be situated close to a village centre with strong public transport links and local amenities, ensuring there will be strong market demand upon completion. This is further supported by comparative analysis of similar five-bedroom properties located nearby.

To ensure the client’s vision for the project could be realised and to protect the long-term health of the professional relationship, Signature wasted no time in conducting the necessary background and credit checks to confirm everything was in order. Once satisfied, Signature was happy to progress the deal and agree an exit strategy that worked for the client.

In this case, the primary source of repayment would be the sale of the completed property, and so a loan term that would allow all of the necessary works to be completed and the dwelling to be marketed, was agreed. This approach would then form the blueprint for the next few developments scheduled in the coming years.

Scott McClymont, Relationship Manager at Signature Property Finance, said:

“Projects like these are why it is so important that we continue to build and maintain strong working relationships with all of our clients, no matter how experienced they may be.

“Over the course of the last few years, we have built significant trust with this client and have now reached the stage where we’re potentially looking at four years’ worth of repeat business, working with them to deliver much-needed residential space.

“Of course, our ability to achieve this consistently speaks volumes to the amount of hard work and effort the entire team puts in to supporting clients – all of our relationships are built on trust and reliability and it’s good to see it paying off.

“With that being said, we are 100% focused on the task at hand as we look to further develop the already strong relationship that has been built.”

The developer added:

“Signature’s attention to detail and experience of all aspects of the property market really sets them apart – time and time again they have demonstrated why so many clients trust them as their short-term property finance provider of choice.

“Not only does it fill us with confidence that the project at hand will run smoothly, but it’s also a great indication of what the next three years could entail as the project progresses into its final phases.

“As such, we would like to thank Signature for all their hard work so far and we are very much looking forward to seeing what the future holds.”