The new firm, backed by Round Hill Capital, will target residential development finance.
Hilltop Credit Partners, a specialist funding partner for small and mid-sized residential property developers and housebuilders across the UK has launched with a target to deploy at least £125m over the next 12 months.
The firm, which is backed by Round Hill Capital, provides funding for developers up to a 90 per cent loan to cost with loans ranging from £3m to £20m. Its existing pipeline consists of over £40m of projects, the firm says, to fund in residential schemes in various UK locations, including Windsor, York and the Midlands.
Paul Oberschneider, founder and CEO of Hilltop Credit Partners, said the joint venture with Round Hill Capital should help promote a greater housing supply and more affordable homes than large housebuilders.
“We look forward to continuing to significantly expand our development lending portfolio diversified across the UK, with a target to deploy in excess of £125m over the next 12 months,” he said.
Michael Bickford, founder and CEO of Round Hill Capital, said like many European countries, the UK’s residential housing market has structural supply/demand imbalances as well as a development funding shortfall.
“We are confident that our combined sector and industry knowledge, expertise, industry networks, committed capital and ability to deliver will prove invaluable to proven SME housebuilders in the UK in need of attractive funding solutions to build the significant additional housing that the UK needs.”