Repeat Borrower Receives Urgent Funding for Commercial Property

Client circumstances

The loan was brought to us by a repeat borrower, who we know
as an experienced investor with a strong asset and liability portfolio. They needed urgent funding to purchase a commercial property in Sheffield. The property was a large, detached, single-storey retail unit, currently occupied by a well-known high-street chain.

The borrower needed £682,500 to purchase the property, and with a tight timeframe to complete the purchase, a commercial bridging loan was the only available option.

The client intended to re-gear the existing lease with the current tenant, increasing it substantially, which they believed would increase the property value by approximately 40%, and then sell.

Our solution

Due to the time-sensitive nature of this case, with funds urgently required for the transaction, we worked diligently to expedite the process, with underwriting and legal checks taking place as valuations were completed and solicitors were engaged by both KSEYE and the borrower.

Their clear exit plan meant we only needed to consider the amount of time the property may take to sell and whether their proposed loan terms were appropriate, rather than having to determine how easy it would be to refinance with another lender.

Throughout this process, our strong relationship with the client, awareness of their established property portfolio, and knowledge of their highly successful property investment, management, and services business, helped the loan process to be completed in good time to meet their urgent deadline.

Loan Amount

£682,500

Property Value

£1,050,000

LTV

65%

Rate

1% pm

Time to completion

16 days

Rates reflect products at the time the loan was completed