DEVELOPERS in Yorkshire are unable to get finance to turn their schemes into reality, an expert has claimed.
Alex Munro, head of commercial development agency Knight Frank in West Yorkshire, said the climate remained very challenging for those who want to build.
He said: “Banks only want to lend on the lowest risk properties, which means a substantial equity interest from the borrower, a secure covenant as a tenant and a fundable lease length which is a minimum of 15 years, ideally a minimum of 20 years.
“It is also important to remember that the due diligence process has moved from detailed to forensic.”
But he added: “It is also the time for the wealthy individuals to get back into the market, where they can get real value for money. We should also not forget the one or two funds which still have the appetite and cash for development if someone else has done the hard yards in pulling it together.”