A Commercially Driven Approach
Our criteria ensures 90% of our projects qualify. We sometimes also consider projects that do not fully fit these specific criteria and make exceptions if the project is highly profitable or in high demand
Experience
We like to work with experienced property developers. Whether you have done projects of your own and have been part of large development team. It all matters and is relative. We would love to know more about your past experience
Project
We mainly look for projects that are 100% multi-unit residential developments. We would consider projects with small commercial element, not exceeding 10%. Projects can be full new builds or conversion of existing buildings
Planning
All projects should be fully consented and with full planning permission in place
Total Project Value
The total GDV (Gross Development Value after the build) for the project should be in the region of £3m – £25m
Final Sale Prices
The final price per unit should not exceed £500k for London and Home Counties and £250k for all other parts of UK. We only consider exception to these criteria, if there is strong demand in the area where you will be developing
Margin
One of key criteria is the overall project margin and we look for project with 25% margin before interest and tax
Length
Ideally, we prefer shorter projects lasting over 9 to 12 months. We consider projects with max duration of 24 months
Capital
We use a combination of equity and senior debt to maximise returns for our JV partners (developers) and our stake holders
Cost
Typically, the developer gets the lion share of the profits. The rest of the profit is shared with us and our stake holders
SPV
We hold the asset in an SPV (Special Purpose Vehicle) operated by 100FP