£5.1m Bridging Loan for a Semi-Commercial Property

A broker got in touch with us to find a solution for his client. The client was seeking a sizeable bridging loan of £5.1m to help facilitate the purchase of a semi-commercial property in London. The property consisted of retail shops on the bottom floor, with 14 flats above. The client had exchanged with a 14-day completion window. Time was of the essence, and bridging finance proved a suitable option.

The complex nature of the security with a mixture of leasehold, freehold and long leasehold properties meant this case wasn’t straightforward. However, that didn’t stop us from finding a solution. To raise the full amount the client required, we leverage a piece of land owned by the client. The land we leveraged against was a development site, with planning permission for 15 flats, with no mortgage.

Securing against the client’s land allowed us to raise the funds the client needed to facilitate the purchase. We sourced a bridging loan of £5.1m with a lender, on a 12-month term. The broker who packaged the case was overjoyed with our consistent communication throughout the process. The exit plan is to refinance onto a term option, in which the broker will also earn commission upon completion of the refinance.