This article was originally published in The Intermediary on the 26 October 2026.

Mortimer Street Capital has arranged a £7.1m development exit facility with Recognise Bank to refinance a residential development south of Bristol.

The facility, agreed at 80% LTV, is secured against seven completed residential units, four of which are sold subject to contract, alongside two additional plots currently at damp proof course stage.

The funding has been used to repay the existing development finance facility and release capital for the developer to acquire further sites without waiting for the remaining property sales to complete.

The development comprises modern residential accommodation incorporating smart home technology, with each property benefiting from a 10-year Zero Bills guarantee through the Octopus Energy Zero Bills initiative.

The arrangement provides the developer with additional flexibility to progress new projects while completing sales at the existing development.

Justin Trowse, managing director of Mortimer Street Capital, said: “Orchestrating funding for a mid-sized developer is a moving feast. Sales positions shift, programmes move, and the next site rarely waits.

“Developers are not short of offers, and headline pricing is the easiest part of the conversation. The harder part is getting a deal done and finding a partner who understands the sponsor’s requirement and can keep pace with it.

“Heather and the wider Recognise team acted swiftly and effectively throughout, and the result is a facility that clears the existing debt and puts capital back to work.”

Heather Mitchell, business development manager at Recognise Bank, added: “Every development has its own circumstances, and it is important that lenders are prepared to assess each case on its individual merits.

“This transaction demonstrates how taking a practical, considered approach can help us support developers whose funding requirements may not fit neatly within standard lending criteria.

“Working closely with Justin and the team at Mortimer Street Capital, we were able to agree on a facility at 80% LTV that gave the developer the flexibility to move forward with its next projects. It is a good example of how commercial judgement and a clear understanding of the borrower’s objectives can help deliver the right outcome.”

The transaction was led by Trowse at Mortimer Street Capital, with Mitchell representing Recognise Bank and Numan Sultan acting on the bank’s legal side.

To learn more about Recognise Bank’s commercial mortgages and bridging finance offering, visit: https://www.recognisebank.co.uk/