£10million Wales Property Development Fund announced
Welsh Government announcement
A new £10million Property Development Fund that will support
smaller scale property ventures in Wales and provide a vital boost
for the construction industry, was announced today by Economy
Minister Edwina Hart.
The Wales Property Development Fund, funded by the Welsh
Government and managed by Finance Wales, has been created in
response to the strong demand from small and medium size
construction companies that are unable to access finance from
The Fund will operate on a commercial basis and by recycling
investment returns, typically within 18-24 months, produce an
‘evergreen’ fund with the potential to provide up to £30m of
available finance over five years.
This could create an additional benefit to the Welsh economy of
around £19m, creating up to 900 direct and indirect jobs and
safeguard in the region of 700 jobs.
The Minister said: "The Welsh Government is committed to
supporting business growth and we listen to business. This Fund
meets a real need to help small-scale property developers access
much needed finance to fund development in both the commercial and
"It was set up in response to a funding gap identified by
Finance Wales and will help kick start development in smaller scale
"Construction is one of our key sectors with the potential to
make a significant impact on the economy. The industry plays a
vital role in delivering a vibrant economy and a quality
"A stagnant construction market impacts on society in many ways,
from a reduction in affordable homes for first time buyers, to
businesses unable to find new premises. Construction
projects, for business, public and residential purposes, can be a
significant driver of local regeneration, visibly improving local
amenities as well as providing a significant number of jobs.
I am delighted to set up this Fund that provides an opportunity
to help stimulate the market by supporting many construction
ventures that would otherwise not be taken forward."
Businesses wishing to apply for investment from the fund
should contact Finance Wales on 0800 587 4140 or visit
www.financewales.co.uk for more information.