The structure behind 100% Turnkey Build funding is designed to be straightforward.
You establish an SPV for your 100% Turnkey projects. The SPV keeps the funding and assets for those projects separate from the rest of your business. Once established, the same SPV can be used across multiple eligible projects.
The buyer signs an unconditional Sale & Purchase Agreement with the SPV and pays the required deposit. That pre-sale is an important part of the model. We are funding a home that already has a committed buyer at the other end.
The SPV enters into a build contract with your building company, and puts a 10-Year Guarantee in place, with Completion Cover sitting alongside it. The guarantee provides additional protection around delivery of the home if something unexpected happens during construction.
Once everything is in place, Turnkey Build funds the SPV and construction funding is released progressively as the build moves through its agreed milestones. You build the home as normal.
Once the home is complete, the buyer settles under their Sale & Purchase Agreement. The Turnkey Build funding is repaid from settlement. Then you move on to the next one.
Unconditional Sale & Purchase Agreement + deposit
The SPV separates your Turnkey projects from the rest of your business
10-Year Guarantee, including Completion Cover
Margin realised throughout the construction