Market Financial Solutions (MFS) has deployed a £2.9 million commercial bridging loan in five days.
The loan has been used to support to acquisition of a commercial office building in Surrey.
The London-based bridging lender completed the loan at a rate of 0.95% with an LTV of 70%. MFS notes that this is one of the highest LTVs currently available for commercial bridging loans.
The case was brought to MFS’ attention by a broker in need of a lender that could deploy a large bridging loan within days. Their client was in the process of buying a commercial property but risked missing the pre-arranged deadline due to delays from their existing lender, which would have resulted in them losing their deposit.
MFS was able to arrange a valuation report within 48 hours of receiving the case, with the bridging loan successfully deployed three days later.
This is one of the many loans that have been arranged by MFS since relocating to its new office in Mayfair at the beginning of March. The move is part of its growth strategy for 2021 and accommodates its expanding team to underwriters and business development managers.
Paresh Raja, CEO of MFS, said: “At the beginning of the year, MFS successfully secured two funding lines totalling £350 million. Since then, we have been inundated with enquiries from residential and commercial clients in need of fast, tailored bridging loans.
“This latest case is an example of how MFS works with clients to meet deadlines despite the challenges posed by social distancing restrictions. Through the team’s dedication and experience, MFS worked around the clock to meet the needs of the client.
“I expect to see similar cases in the coming weeks. The property market is once again alive with activity, encouraged by the recent Spring Budget and stamp duty holiday extension. That said, many mortgage lenders are still not in a position to effectively address complex cases, particularly when faced with pressing deadlines. As such, I anticipate demand for bridging loans to rise as the UK transitions out of lockdown.”