Boodle Hatfield Property Insights, Dec 2023 - Flipbook - Page 6
Boodle Hat昀椀eld
Property Insights
the private debt provider can do bigger ticket sizes and
offer higher returns to its investors and the bank is able
to fund transactions on a last-loss basis without having
to originate or manage the loan. The dif昀椀culty of course
is that it takes time to build relationships between banks
and private lenders and it’s not always the case that
each of them will be a perfect 昀椀t for each other.
Harnessing regulation to unlock transformative
potential
The surge of private debt in the UK’s real estate sector
has ushered in a new era of 昀椀nancing possibilities.
As alternative lenders and private debt funds carve
out a signi昀椀cant role, developers and investors are
gaining access to innovative 昀椀nancing solutions that
cater to their unique needs. While the advantages are
evident, regulatory vigilance is necessary to ensure
that the sector remains resilient and transparent. By
addressing challenges related to risk assessment,
transparency, and market stability, the UK can harness
the transformative potential of private debt to reshape
its real estate landscape for the better. If banks and debt
funds can work together to get the formula right, there
are potentially bene昀椀ts to be reaped for the industry as
a whole.
Partners, Rahul Thakrar and Jonny Hyndman
This document is intended to provide a 昀椀rst point of reference for current developments in aspects of the law. It should not be
relied on as a substitute for professional advice. If advice on a particular circumstance is required please contact your Boodle
Hat昀椀eld lawyer.
Andrew Wilmot-Smith
Partner and Head of Property
+44 (0)20 7079 8138
awilmotsmith@boodlehat昀椀eld.com
Boodle Hat昀椀eld LLP
240 Blackfriars Road, London, SE1 8NW, DX 53 Chancery Lane
+44 (0)20 7629 7411 | bh@boodlehat昀椀eld.com | www.boodlehat昀椀eld.com
© Boodle Hat昀椀eld LLP 2023. Boodle Hat昀椀eld is not authorised under the Financial Services and Markets Act 2000 but we are able in certain
circumstances to offer a limited range of investment services under the supervision of and regulation by the Solicitors Regulation Authority. We
can provide these investment services if they are an incidental part of the professional services we have been engaged to provide.