Peer-to-peer property lender Blend Network has increased its maximum loan to gross development value (LTGDV) from 65 per cent to 68 per cent.
This will eliminate the need for the lender to offer two separate products, by combining both senior and mezzanine lending facilities.
The decision to increase LTGDV was made after seeing increased lending activity over the past few months.
“Without a doubt, 2020 has been a strange year in the property market,” said Paul Watson, head of origination at Blend Network.
“But, as a lender, we’ve seen very strong activity and hit fresh monthly records of lending in recent months.
“We now feel confident to increase our lending parameters and push boundaries to continue to serve our borrowers by blending mezzanine and senior debt to become their lender of choice”.
Roxana Mohammadian-Molina, chief strategy officer at Blend Network, said that Covid-19 has provided “a unique opportunity to test the alternative lending market”.
She added: “Over the past few months, we’ve stood by our borrowers, strengthened our existing relationships with them, and built new relationships.”
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