Aldermore, the specialist bank, has provided a £10.8m property development loan to DG1 Developments Ltd, part of the Draycott Group. The funding is being used to support the development of a student accommodation scheme in central Cardiff, consisting of 146 self-contained units.
The new student development, which is spread over eight floors, comprises of 118 studio apartments and 28 one bed units and has been configured around a central courtyard. It also hosts two small ground floor commercial units.
Established over 15 years ago by Sajid Ghaffar, the Cardiff based business has successfully developed commercial and high end residential properties across South Wales.
Since January, Aldermore has provided over £40m of development funding in the South West region, as construction in the area has increased by 10%. The rise in demand also saw Aldermore boost its maximum property development loan to £25m, in an effort to continue to support developers who are looking to borrow through tailored financing facilities, as well as to strengthen the Bank’s strategy of further increasing its support for UK housebuilders.
Greg Pescott, property development manager at Aldermore, said: “We are delighted to fund such a unique student accommodation complex. Relationships are absolutely key to our business success, and that is showcased in our work with DG1. Spending time with Sajid and his team enabled us to quickly identify his funding requirements. We very much look forward to working with them in the future as they continue to expand their offering.”
Sajid Ghaffar, managing director at DGI Developments, said: “It was a pleasure partnering with Greg and the team at Aldermore. We need the reassurance that the funding will be delivered within tight timescales, so that we have the confidence to execute our vision. Speed, efficiency and the human touch run through our DNA, and that’s something they certainly understood and shared. I look forward to working with them in the future as we continue to develop a range of property solutions.”
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