Castlehaven Finance backs leading Cork developer’s exit from NAMA

Denis O’Flynn has refinanced NAMA debt with alternative lender in landmark permanent stay on liquidation and discharge of receivers 

Castlehaven Finance has agreed to advance a loan facility of over €30 million to companies controlled by Cork developer Denis O’Flynn to refinance a portfolio of the developer’s properties previously secured to NAMA in a milestone deal for the industry.  The deal recovers the portfolio of sites from receivership and allows the O’Flynn companies to exit liquidation. As well as repaying the O’Flynn loans in full, Castlehaven’s debt facilities will allow development to commence, providing vital housing for the undersupplied Cork market.

The renowned developer’s NAMA portfolio was placed into receivership in 2014, triggered by the insolvency of Mr O’Flynn’s holding company and two subsidiary companies over which liquidators were appointed.  The funding from Castlehaven will release the properties from NAMA control and allow development on the sites.

Cian Fenton and his team at Ronan Daly Jermyn advised Castlehaven on this novel transaction with BHK Solicitors and Hyland Johnson Keane advising Mr. O’Flynn.

Commenting on the deal, Castlehaven partner Will Aylmer said “Denis O’Flynn is a highly regarded developer, with a great knowledge of the Cork market – he’s veteran of the field.    Castlehaven has always sought to be part of the solution for Ireland’s housing crisis and we’re delighted to be working with Mr O’Flynn.  Freeing these sites from Receivership will boost housing supply where it’s critically needed.”

Castlehaven Finance was founded in 2014 in response to the need for alternative development financing in the Irish marketplace, given the reduction in available bank debt for the sector at that time.  Since then, the company has advanced property development and bridging finance to the industry of €855 million and is now one of the top alternative finance lenders in Ireland.  Since lockdown restrictions began, Castlehaven have been actively working with developers and have provided 8 new facilities totalling €127.7 million in funding.