Development Exit Finance

Development Exit Finance, also known as Sales Period Loans or Developer Exit Loans, is a refinancing solution designed for property developers who are nearing the completion of their projects. It allows developers to replace their existing development loan with a more flexible and cost-effective option, often reducing interest costs and improving cash flow.

By switching to a Developer Exit Loan when a site is close to or has reached practical completion, developers can avoid expensive extension fees on their existing finance. This type of loan provides additional breathing space, enabling developers to sell units at market value without the pressure of high-interest development finance. Interest rates for Development Exit Finance typically range between 0.55% and 0.75% per month, offering significant savings compared to standard development loans.

At Fennel Financial, we offer bespoke financial products that cater to your specific needs, ensuring you have the flexibility and support required for successful project completion.

Our team of experts works closely with you to navigate the complexities of the financial market, providing you with peace of mind and the confidence to focus on your developments.

Development Exit Finance is a short-term funding option tailored for property developers looking to refinance an existing development loan. It offers flexibility by allowing developers to extend their sales period, reduce interest costs, or release equity from their completed or near-completed projects.

One of the main benefits is the high Loan-to-Value (LTV) ratio, with financing available up to 80% LTV. Arrangement fees are competitive, starting from 1%, while interest rates can be as low as 0.4% per month. Unlike some other forms of development finance, many Development Exit Loans come with no exit fees or early repayment charges (ERCs), providing greater financial freedom.

Additionally, these loans require no upfront fees and can be arranged for periods of up to 36 months. Available across England, Scotland, Wales, and Northern Ireland, they cater to both experienced and first-time developers. Developers also have the option to retain part of the proceeds from each unit sold, helping with cash flow and reinvestment.

Development Exit Finance is an effective solution for developers looking to reduce costs, extend their sales period, or free up capital for future projects. If you’re considering refinancing your development loan, speak to an expert at Fennel Financial to explore the best options available to you.