Gross Loan Amount:
A new broker reached out to our underwriting team, introducing a new client who was looking to invest in a semi-commercial property. The property had previously been damaged by a fire.
Due to this damage, the broker’s client had managed to secure the property at a good price but required a fast bridging loan to complete quickly.
They had a tight 10-day completion period.
The amount of damage inflicted on the asset meant that our underwriter needed to instruct a structural report. A standard valuation was also carried out by a member of our valuer panel.
Upon receiving figures for the valuation report in under 72 hours, and after receiving positive news from the structural report, our underwriter was quick to instruct lawyers to ensure we would meet our client’s deadline.
The client had already found a retail business ready to rent out the commercial sector of the building – so with personal finances, was looking to refurbish the downstairs immediately to facilitate this. Over the upcoming months, they were also looking to renovate the residential part of the building to ultimately let it out.
Initially, the client struggled to find finance for a property with fire damage, however, whilst some lenders would be cautious of the damage, as well many lenders remaining unsure about lending on commercial property, we were ready to facilitate this purchase for our client. We were confident in the client’s background, and with interest already in place for the commercial space – we had additional confidence.
A long-term commercial mortgage was also being arranged, creating an exit strategy through traditional finance.