The applicant had an option to purchase for one year ending 31st March on a mixed used investment property.
During the option period, they had converted the property to a mixed use residential and commercial site and brought in tenants, intending to refinance the property or sell on their option.
However with only two weeks to spare to the deadline and without long term finance or a buyer in place, they approached Lisa Williams, managing director at Keys UK Ltd to assist with a bridging loan instead.
The applicant needed the bridging loan to cover both the option purchase price and all related costs.
The broker contacted a number of bridging lenders but no-one would advance the full funds required, notwithstanding that the loan to value was below the market level 65% and that the asset was yielding sufficient rental income to subsequently secure a long term remortgage as the exit for the bridging loan.
Even a last minute hitch with the valuation report, which recommended the need for a structural survey, didn’t prevent the deal from going through as planned; and with just a week to work with, Bridgebank also arranged a structural engineer’s report resulting in a completion of the loan on time.
Williams said: “I’d like to offer my thanks to Richard King and Bridgebank Capital for their assistance regarding a recent transaction.
“I’m pleased to say that my client has a number of other similar deals in the pipeline and very much look forward to working with Bridgebank on them.”
Laurence Goodman, managing director at Bridgebank Capital, added “This loan is testament to Bridgebank’s commitment to exceptional service and expertise and it demonstrates our ability to provide bridging loans quickly.
“The team worked at speed with efficiency liaising with the borrower, the solicitors, the introducer and the valuers to hit the borrower’s deadline.”
