Malcolm Jones

Registered with
Tuesday 3rd June 2014

Latest Comments

Total Number of Property118 Comments: 3

Malcolm Jones

13:44 PM, 8th October 2021, About 8 months ago

Refinancing a modest but thorny commercial mortgage?

Hi Tony. The reason behind lenders not liking the pension link is because of the additional due diligence required.

The only lenders that might consider this would be specialists and hence the special interest rates... Read More

Malcolm Jones

11:48 AM, 8th October 2021, About 8 months ago

Refinancing a modest but thorny commercial mortgage?

Hi Tony. Unfortunately, given the BVI circumstances, the pension link and the fact that it is a commercial property, there are very fewer lenders that will consider this. If we were able to engage the interest of a lender, their terms would not be close to your existing 1.5% over LIBOR. Their interest rate would be in the region of 3 times as much.... Read More

Malcolm Jones

10:25 AM, 14th November 2016, About 6 years ago

I Am A Property Developer - Ask Me Anything!

Good Morning David
You have raised some very interesting and significant questions. As this will be your first development, it is essential that you use experienced professionals (architect, quantity surveyor, contractor etc.) A good starting point would be the architect. It is often useful to ask for their recommendations on the other professionals that they have worked with in the past and who will work together as a team. You can then shadow them on your first few developments and gain the experience required to fulfil the role of project manager on you future developments.

Taking each of your points in order. Firstly you should look for a project that would give you a minimum profit of 20%. Please bear in mind that should you not have the right people in place this could easily turn into a 20% loss. With regards to development finance, today there are numerous lenders in this field. Most of them have different criteria for different developments. We at Brooklands are happy to give a free initial consultation for our clients.

With regards to your target of achieving a GDV of 3 million within 5 years, this is very achievable given your available capital. On this point, it may not be necessary to sell your two London flats if they are good investments. We could look at the possibility of re-financing them or using the equity as additional security for the development lender.

In response to your last post, Development finance: presentation of the financial plan, this is something that Brooklands would assist with; Detailed project cost, this is something that your QS will do for you, although you can use the internet to get approximate costs; extended marketing period, as you suggest they could be put onto BTLs or we could put them onto a short term loan that would release some capital and reduce the cost of borrowing; Borrowing vehicle, the lenders are equally happy to lend to both individuals and companies, however your lack of experience will limit the number of lenders that will consider this. You should obtain advice from an experienced property tax consultant with regards to the most appropriate structure as this will be dependant upon your current situation and your future plans.

Malcolm Jones... Read More