CrowdProperty obtains £100m forward flow partnership with ColCap Financial UK
Specialist lender for SME housebuilders, CrowdProperty, has secured a £100m forward flow partnership with Colcap Financial UK, parent company of buy-to-let (BTL) mortgage lender Molo.
The funding will be provided over an initial two-year term, and CrowdProperty will originate development finance, development exit, development finish and bridging loans between £200,000 and £5m.
This will provide capital to small and regional housebuilders who continue to cite access to finance as a barrier to home building.
Steve Deutsch, CEO of CrowdProperty, said the partnership represented a “step forward” for the lender as it diversified its funding.
“By combining our specialist property development expertise and established origination capabilities with the funding strength of ColCap Financial UK, we can provide greater support to SME housebuilders delivering much-needed homes across the United Kingdom,” Deutsch said.
CrowdProperty’s head of sales, Steve Smith, said housebuilders continued to face challenges around build costs, project timescales and sales exits, making access to funding “particularly important”.
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He added: “This partnership gives us additional capacity to support housebuilders at different stages of their projects, including those looking to refinance existing facilities or secure funding to complete developments and bring properties to market.”
Matt Kimber, CEO of ColCap Financial UK and Molo, said: “SME housebuilders are vital to delivering the homes the UK needs, and this partnership is a natural extension of our UK business alongside the BTL lending provided by Molo.
“CrowdProperty is an established specialist with a strong record, and we are pleased to provide long-term funding to support its growth.”
