Sourced Capital closes largest loan to date of £5m
Sourced Capital has closed its largest loan to date providing a more than £5m facility to support the development of 55 apartments in Taunton.
The loan will be used to purchase and developed the building. It has a term of 18 months and a loan to gross development value of 67 per cent. It has a targeted interest rate return of 12 per cent per annum for investment over £20,000.
The apartments will be built in a former office block, that has planning permission to be converted into residential units.
Sourced Capital’s two most recent deals were a £2.1m loan, which was funded in just 24 hours and a £267,000 loan that was funded in less than 60 seconds.
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“Over recent months, demand for this type of investment has been growing steadily to the point where we have funded deals in under a minute,” said Derek Pratt (pictured), commercial director. “This loan helped to satisfy that demand from our investors looking for rates of return that can stay ahead of targeted inflation rates.”
Since inception in 2019, the property investment platform has returned more than £16m of capital and around £2.68m of interest to investors. Including the Taunton deal, it has funded more than £32m of loans for property developments across the UK. Over three years investors have achieved an average return of 11 per cent annually.
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