Semi-Commercial Bridging Loans: Swift Funding for Mixed-Use Properties
Semi-commercial bridging loans provide rapid, adaptable financing for properties blending commercial and residential elements.
If you’re targeting a shop with flats above or planning to convert an office space into a mixed-use development, our tailored bridging loans can help you quickly capitalise on opportunities.
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Quality service
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Lender Choice
Over 250 Banks, Hedge Funds, Family Offices & more.
Experience
Over 15 years of specialist finance broking.
Bespoke Lending
Finance tailored specifically to meet your needs.
What Are Semi-Commercial Bridging Loans?
Semi-commercial bridging loans are short-term secured loans designed for properties combining commercial and residential aspects.
These properties typically feature a commercial component on the ground floor, such as retail shops, offices, or restaurants, with residential units on the upper floors.
The bridge loan covers the funding gap between property acquisition and long-term financing or sale, enabling investors and developers to move swiftly on profitable opportunities.
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Types of Properties Covered
Our semi-commercial bridging loans support a variety of mixed-use properties:
Retail units with residential flats above
Office spaces with living quarters
Pubs or restaurants with accommodation
Light industrial units with attached housing
Large houses partially converted for business use
Unique Aspects of Semi-Commercial Bridging
Semi-commercial bridging loans require specialised underwriting that evaluates both commercial potential and residential aspects.
This nuanced approach often results in more favourable terms for borrowers.
Key Features of Semi-Commercial Bridging Loans
Our bridging loans are tailored to meet the unique needs of mixed-use property investors and developers.
With competitive rates, flexible terms, and swift approval processes, we provide the financial agility you need to capitalise on opportunities in this dynamic market sector.
Loan Amounts
We offer semi-commercial bridging loans from £150,000 to £75 million, accommodating diverse project sizes and investor requirements.
Loan-to-Value (LTV) Ratios
Our semi-commercial loans go up to 75% LTV. The specific LTV depends on property type, location, and exit strategy.
Interest Rates and Fee Structure
Interest is charged monthly, with roll up options or serviced. Arrangement fees typically 2% of the loan.
Loan Terms
We provide flexible terms ranging from 3 to 36 months, giving you ample time to execute your property strategy.
Interest Options
- Serviced interest: Monthly payments from property income
- Rolled-up interest: Added to the loan and paid at term end
We have access to a market of lenders who will consider transactions where potentially others won’t.
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Common Uses for Semi-Commercial Bridging Loans
Semi-commercial bridging loans offer versatile financing solutions for a wide range of property scenarios.
Whether you’re looking to acquire, renovate, or develop mixed-use properties, our bridging loans provide the flexibility and speed to support your investment strategy.
Let’s explore some of the most common applications:
Property Acquisition
Secure mixed-use properties quickly, outpacing competitors in this fast-moving market.
Our streamlined process allows you to complete purchases rapidly, often within days of approval, giving you a significant advantage in negotiations. This speed can be particularly valuable when sellers are motivated or when you’re facing competition from other buyers.
Refurbishment and Conversion Projects
Transform outdated commercial spaces into thriving mixed-use developments or upgrade existing semi-commercial properties to maximise their potential.
Our loans cover both purchase and renovation costs, providing a comprehensive financing solution for your project. This allows you to undertake significant improvements, potentially increasing both the property’s value and its income-generating capacity.
Auction Purchases
Capitalise on auction opportunities with our swift approval process, perfectly aligned with the tight timelines typical of property auctions.
Our rapid decision-making and funding release enable you to bid with confidence, knowing you can meet the usual 28-day completion deadline.
Breaking Property Chains
Keep your mixed-use property purchase on track by bridging the gap when your property sale faces unexpected delays.
This flexibility can be crucial in preventing deal collapses and potential financial losses. By providing temporary funding, we ensure you don’t miss out on your desired property while waiting for your existing sale to complete.
Business Expansion
Leverage your existing semi-commercial property to fund business growth or acquire new premises for your expanding enterprise.
This approach allows you to tap into your property’s equity without selling, providing capital for various business needs. Whether you’re looking to renovate your current space, purchase equipment, or acquire additional properties, our loans offer a flexible funding solution to support your business ambitions.
Eligibility
Lenders will consider a wide range of semi-commercial properties across England and Wales in good condition or with clear improvement potential.
Credit Considerations
While clean credit histories are preferred, each application is assessed on its own merits, considering the overall financial situation and exit strategy strength.
Exit Strategy Importance
A clear, viable exit strategy is essential for all bridging loans.
Options include refinancing to a long-term commercial mortgage, selling the property, or repaying from other sources. We’ll ensure your exit plan is robust and achievable.
Borrower Profiles
Loans are available to:
- Individuals
- Partnerships
- Limited companies
- Offshore companies
- Foreign nationals
- Expats
Advantages of Semi-Commercial Bridging Loans
Rapid Funding
Our streamlined process ensures quick access to funds, often within days of approval.
Tailored Loan Structure
We customise each loan to your specific needs, offering flexibility in terms, repayment options, and loan amounts.
Expert Underwriting for Complex Cases
We work with experienced underwriters who understand semi-commercial property intricacies, allowing us to place cases that might challenge other brokers.
No Early Repayment Charges
Repay your loan early without incurring additional fees.
Why Choose Us for Your Semi-Commercial Loan?
Access to Over 250 Lenders
Expertise in Complex Financing Scenarios
Bespoke Solutions
Proven Track Record
Need some help?
If you need a short-term bridging loan then a specialist broker is a good place to start. You will get expert help and advice along with a wide range of lenders to choose from.
To speak with a specialist broker, please call us on 020 3488 5706.
FAQ
Lenders typically offer up to 75% LTV.
Once approved, lenders can release funds within a few days.
Yes, we can consider loans for properties awaiting planning permission, although this may affect the LTV offered.
Common exit strategies include refinancing to a long-term commercial mortgage, selling the property, or repaying from business profits or other investments.
Absolutely. Our expertise and wide network often allow us to find solutions for complex cases that other brokers or direct lenders might decline. We’ll review your situation and explore all available options.
Semi-commercial rates are typically slightly higher than residential rates due to the perceived additional risk. However, rates vary widely based on the specific property, your experience, and the loan-to-value ratio.
Yes, it’s possible. While some lenders prefer experienced investors, others are open to first-time buyers with a strong business plan and exit strategy. We can help you find lenders who are comfortable with your level of experience.
Related: How Do You Pay Back a Bridging Loan?
While most types of semi-commercial properties are eligible, some lenders may have restrictions on certain property types or locations. We’ll help you understand any limitations and find lenders who are comfortable with your specific property.
While every case is unique, we typically complete the process in 2-3 weeks. In some straightforward cases, we can arrange funding even faster. We’ll work diligently to meet your timeline.
