“Computer says no.”
We’ve all been there.
When you’ve done your utmost to tick every box, to fulfil all the requirements but you come up against an immovable wall of automated process.
It’s an experience which is particularly common when it comes to securing finance – far too often, far-sighted developers and brilliant business people are blocked from making progress because they don’t fit narrow criteria determined by an algorithm rather than by a human being.
When it comes to property development finance, traditional lenders are often slow to respond, lack the in-depth knowledge of the property development sector and operate under very rigid criteria which often exclude SME developers and those with less experience.
Even specialist lenders can sometimes fall short by providing relatively inflexible finance options where strict funding line criteria can make them unable to react to changing lending parameters.
At GB Bank – one of the UK’s newest licensed banks – we do things differently.
While we employ the very latest in hi-tech processes, our technology is there to speed up decision-making rather than creating roadblocks. Being a bank also means we have the flexibility to adapt to changes in borrowing needs quickly.
With all of our lending, it is a human being which makes the final decision – and not just any human being. We pride ourselves on having some of the best relationship managers and property lending decision makers in the business; people with distinguished track records in the specialist property finance and in-depth knowledge of the communities which they serve.
What’s more, all of our people have a genuine passion for supporting the UK regions most in need of investment and for providing greater opportunities for SME developers and property investors to grow.
The end result is that we can offer a wider range of long-term and short-term lending solutions to property developers and investors at all stages of the property life cycle, as well as speeding up the decision process.
Our residential bridging products are available across a range of properties. Whether you need funding quickly for a purchase, to refinance, for property improvement, or to unlock working capital to make further investments, we can help. Amounts available range from £26,000 up to £3m with terms up to 18 months and up 75% LTV and 90% LTC.
Our commercial bridging products are similarly wide-ranging. Whether you are acquiring a new property or development, upgrading a commercial property or unlocking working capital to make further investments, we can offer a variety of bridging finance solutions. Amounts available range from £100,000 to £3m with terms up to 18 months and up to 70% LTV and 90% LTC.
But while we have a wide range of lending solutions, we always strive to ensure that the solution we provide fits the property project rather than the other way round.
In many cases, it might be necessary to have a blend of different bridging finance products available at various stages of the project and that’s what GB Bank can do. For example, our bridging solutions can also be used in conjunction with our full range of property development finance products, offering maximum flexibility. Should the customer wish to retain the property, our range of long term mortgages can help with that too.
This is particularly the case in the current bridging and property development market – post-pandemic, from offices conversions to residential accommodation to auction purchases, developers need a quick turnaround in order to capitalise on great investment opportunities.
Landlords also need to be able to act quickly to improve energy efficiency in older properties as legislation and tenants’ desire to save costs on energy bills combine to make upgrades a sensible investment.
This is all good in theory, but how is it working out in practice for GB Bank?
Well, January and February may traditionally be quieter months of the year for the property sector – especially at a time of soaring inflation and Bank of England base rate rises – but we have been really busy with enquiries from developers, investors and introducers for products right across our lending range.
The figures provide ample evidence of demand for our unique market proposition, which is designed to provide coherent lending solutions across the property lifecycle in areas that are under-served by traditional banks and lending providers.
Recent figures from the National Association of Commercial Finance Brokers (NACFB) showed just 2% of their members saw the North East of England as their primary funding area. With such crucial funding for the building of much-needed homes and community developments going to other areas of the country, it has previously left the region rather short-changed: until now.
GB Bank is helping to fill this funding gap, providing funds for the communities which need them most and helping to bring customers’ development dreams to life.
We have seen already that there is a huge appetite from developers, investors and introducers for lending products which provide real solutions for property projects.
With the right, specialised support on the finance side, under-served regions in the country have the drive to get property projects done – and GB Bank is perfectly positioned to deliver that support.