Pluto Finance said on Tuesday that it has signed six loans and is in the process of financing four other sites as the company marks six months in business.
Pluto Finance said on Tuesday that it has signed six loans and is in the process of financing four other sites as the company marks six months in business.
Established in May 2011, Pluto Finance helps to finance residential developments in London and the South East of England. When all 10 loans are drawn, the projects will have a combined value of £91 mln (EUR 106 mln).
Pluto Finance was established to plug the funding gap left by banks, providing mezzanine loans ranging from £1 mln to £6 mln per project. The company is backed by Mountgrange Investment Management through Mountgrange Real Estate Opportunity Fund, which has committed £25 mln to the venture. With recycling, this investment should allow Pluto Finance to deploy £50 mln over the next three years.
Rob Mills, a Mountgrange partner, said: 'The continued demand for quality developments in London and the South East has resulted in strong take-up of our mezzanine loans. We are glad to be leading the way in this rapidly developing sector of the property debt funding market.'
