Exclusive: Two P2P property platforms partner on development deal

Two peer-to-peer property lending platforms, Blend Network and LandlordInvest, have partnered to fund a ground-up development deal in Clevedon, North Somerset.

Blend Network has provided a £1m development finance facility and LandlordInvest has provided around £150,000, to help experienced developers acquire and develop a property in the seaside town and civil parish into four semi-detached three-bedroom houses.

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“They provided the senior loan and we provided the junior charge,” said Filip Karadaghi, co-founder and managing director of P2P property lending platform LandlordInvest.

“I would say their cooperation is probably closer than other lenders we have previously worked with.

“It was a smooth transaction, we just competed it. We enjoyed doing it with them and look forward to many more.”

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“In terms of partnering with another lender, we are always open to partnerships as long as the client gets the best overall product,” said Yann Murciano, chief executive of specialist development finance lender Blend Network.

“At Blend Network, we believe in and observe the religion of client service above anything else. Our main focus is to serve customers by delivering a great product and a fantastic service.

“We also have a number of other partnerships with family offices that effectively allow us to offer a ‘blended’ facility of senior and mezzanine debt, which is great for the borrower because they get maximum gearing of up to 75 per cent loan to gross development value and have to deal with only one lender – Blend Network – instead of having to arrange senior and mezzanine debt separately, and pay for it.”