Meet the Property Development Finance team

Flexible property finance depends on people who understand the pace and complexity of development.

Last month, we launched our Meet the Property Team series,  introducing the colleagues who turn that understanding into quick decisions, carefully structured solutions and lasting client relationships. They’ll share their roles, career journeys and market perspectives, how these shape their work with clients and partners, and a little about the people behind the job titles.

Next, we speak to Michael Thomspon, Origination Director.

Tell us a little about your role at Triple Point.

The origination role at Triple Point is far wider than the title suggests as we take an active role throughout the life of the transaction. The primary focus is obviously to “originate” new, credit worthy deal flow, which means getting out and speaking with brokers, professional advisors and clients to help build a credible pipeline. In addition to this, I still have to keep on top of existing underwritten loans, maintaining regular dialogue with borrowers to help navigate the never straightforward world of development! All of this however would not be possible without the hard work of our portfolio managers who are often the unsung heroes!

What do you enjoy most about your role?

The variety and the people. No two projects are the same and working with borrowers and advisors to structure a solution that works is incredibly satisfying. 

What first attracted you to the property industry?

Property isn’t black and white, there’s a lot of grey. There are things that can give an indication of whether a development will be successful that can’t be demonstrated on a spreadsheet – the majority of people who go to look at a potential new home will not be paying attention to the £psf cost, but things such as how long is the walk to the train station, what are the local schools like or can the garden accommodate a golf simulator pod…

What are the biggest challenges in the current market?

It’s fair to say the last few years have not been kind to the development industry. The average cost of building a house has increased by c.£76,000 since 2020 due to a combination of cost inflation and regulatory changes whilst at the other end, sales have slowed and prices have softened due to sharp increases in mortgage rates and wider cost of living issues. Developers are therefore finding it very difficult to find viable projects and as such lenders are scrapping over significantly fewer quality schemes. 

What excites you most about the current market?

That we might have reached (or be very close to) the bottom! Our market has been hit by a lot of headwinds and regulatory red tape but hopefully the announcements in the upcoming budget will be the start of an upward moving trend.

What advice would you give someone starting a development project, and what do you look for in a borrower?

Be realistic about costs, values and timings, and build in some headroom. It helps keep the project viable, gives lenders confidence and can avoid extra costs later. I also want to know that the borrower has the experience and financial capacity to deliver the project, so it’s important to flag any concerns early.