CBILS funding makes development posible

Experienced Developer David Linell, Owner of Linell Homes Ltd, was close to signing the papers on a deal to start the construction of 10 new residential properties when the nationwide lockdown was announced, leaving him with uncertainty regarding his cashflow and an empty building site.

David said, “We’d just finished the demolition of a pub onsite and everything came to a standstill, it felt like the whole world stopped.”

Unsure of the future David contacted Manchester-based specialist lender Assetz Capital Lending Ltd to see if they could help. “I had been introduced to Relationship Director Rebecca Hall a few years previously and since the first call we’ve had immense support to get construction started again.”

Rebecca Hall, Relationship Director at Assetz Capital, “We understand that cashflow is critical to any development. The plan is solid, and we were very happy to help David with a multi-tranche loan to get this project completed and help address the growing need for housing in the UK.”

Assetz Capital Lending Ltd provided a £2.1m facility for the project through the Coronavirus Business Interruption Loan Scheme (CBILS) in partnership with the British Business Bank. This scheme is being monitored by Katie Green, Director of Quantum GN Limited

Construction is now well underway and so is the interest in the properties. David explains, “The response to the plans for these 3-4 bedroom homes has been astonishing. Despite the fact they are due to be completed in October 2021 we had phone calls enquiring throughout the whole of lockdown. Without CBILS we’d still be at the stage of having an empty building site with uncertainty on our cashflow. The support this has given us has been immense.”