Matthew Yassin from Arc & Co. has completed a £8.7m development loan with Green Homes Alliance Octopus. The development located in Leyton, is for 2 new build blocks under two different titles.

The initial loan is underwritten on planning for 25 units and two commercial units with a GDV of £13.8m.

The developer is looking enhance the energy efficiency by installing Air source heat pumps, windows with enhanced insulation and a new form of cladding. The developer is aiming to achieve an EPC rating of A on completion, by doing this he will receive a discount of his finance costs of 2% under Green Homes Alliance Initiative.

Matthew Yassin, Director at Arc & Co. says, “To complete this deal in the current economic environment is complementary to both the client and the lender and demonstrates the strength of the client’s team and the quality of the underwriting by Octopus. To be able to potentially achieve a fixed rate of 5.75% where 2-year SWAP rates are currently 4.25% is an excellent deal for the client.”