Avamore Capital has completed a £626,000 development loan at 70% loan-to-gross-development-value (LTGDV), according to the specialist lender. The broker-led transaction required detailed structuring to address valuation discrepancies and title restrictions that delayed the drawdown process.
Relationship manager George Ormerod coordinated the deal, working with the broker to reconcile differences between the borrower’s expectations and figures provided by the valuer and monitoring surveyor. The structure was designed to provide sufficient funding headroom while maintaining risk controls.
Title restrictions delay completion
The transaction encountered delays linked to restrictions on the property title. A licence had to be secured before funds could be released, requiring coordination between Avamore, the broker, and the borrower to avoid further disruption to the development timetable.
The lender identified three key challenges during the transaction: aligning valuation and monitoring surveyor figures with borrower expectations, navigating title restrictions that delayed drawdown, and maintaining a funding structure that balanced commercial needs with risk controls.
Ed Blundell, head of underwriting at Avamore Capital, led the structuring of the facility and managed the underwriting process. He has more than six years of experience in development and bridging finance.
“Development finance often requires flexibility and collaboration,” said Blundell. “By working closely with the broker and borrower, we were able to structure a solution that addressed valuation challenges and title restrictions while maintaining strong underwriting discipline.”
Market context
The case highlights ongoing challenges in the development finance sector, where valuation alignment and title issues can create delays for borrowers and lenders. The 70% LTGDV ratio reflects typical risk parameters in the current market, where lenders maintain cautious underwriting standards amid economic uncertainty.
