Building Brighter Futures
How We Lend...
We believe that everyday people and businesses should not have to settle for lower quality opportunities compared to larger institutions. That is why we enable clients to fund institutional grade, senior, secured property loans, as part of our secured lending community.
What is Secured Lending?
This means loans which are not only subject to a loan agreement, but where there is also a charge over a specific asset provided as collateral on a loan. Typical examples are mortgage loans or car loans. At Initiative Ireland we provide property finance only where we can take a 1st legal charge over the underlying property, held in trust, on behalf of our lenders, just like a Bank Mortgage.
What is Senior Lending?
Senior Lending For every €100 we release to the borrower, there needs to be €133 of underlying security in the property, with the difference coming from the developer's contribution. Should we need to exercise our security charge, our lenders are repaid in full first from any sale proceeds before the developer or any other finance provider in the deal gets their share.
As such, at Initiative Ireland our secured loans have significant downside protection for our Secured Lending Community, as they are all both Senior & Secured.
Social Impact Finance
Why We Lend...
Positive Social Impact.... at Initiative Ireland, delivering positive social impact is at the heart of what we do and why we do it. We assess all opportunities to ensure they deliver a positive social impact, are sustainable and offer security and downside protection. That is why we offer financially inclusive products, like our Secured Lending Accounts to our lenders, and affordable development finance to our trusted borrowers. Together with our growing community of borrowers and lenders, we are doing our part to help tackle the housing crisis, by delivering social, affordable and mid-market housing across Ireland through innovative and inclusive products.
Recent Case Study
We are proud to support social, affordable and mid-market residential housing projects across Ireland. As Ireland's largest peer-to-peer Secured Lending Platform, we have financed over €7.5m in loans to date and aim to significantly grow our lending in the next year.
North Strand Five Lamps, located in the heart of Dublin was one of our first loans financed through the platform. A project aimed at delivering 11 Social Housing Units suitable for elderly occupants, it also includes a ground floor cafe, providing additional amenities for this established city centre community.
A secured loan of €1,500,000 was provided in December 2017 to finance and commence the project and this was repaid in full by September 2018, ahead of schedule. In addition to delivering additional social housing and amenities to the local community, the development has delivered great returns to our lenders in return for their committed funds, which were at all times secured with a first legal charge over the property.