AREA: St Albans, Hertfordshire
AMOUNT RAISED: £1,500,000
PRODUCT USED: Re-bridge Refinance & Long-Term Loan Stabilisation Facility
We pride ourselves on our ability to create bespoke financial solutions for complex scenarios. This case study showcases how we helped an experienced developer avoid punitive interest rates and secure long-term financing for a charitable housing project.
Client Scenario
Our client, a specialist landlord and developer operating through a UK Special Purpose Vehicle (SPV), approached us with an urgent need. They had been redeveloping existing properties in St Albans, Hertfordshire, to meet the specific needs of a charity housing vulnerable tenants. However, planning permission delays had led their current lender to impose default rates of 3% per month, along with a £30,000 penalty fee.
Funding Solution
We quickly identified a lender who could provide a £1,500,000 re-bridge refinance within five days. To expedite the process, we negotiated a drive-by valuation and full title insurance, eliminating the need to wait for local searches. This bridging loan, at a rate of 1% per month, allowed our client to pay off the existing lender before the punitive rates took effect.
Final Outcome
With the immediate threat addressed, we focused on a long-term solution. As the property was now generating income, we secured a specialist charitable bank to provide a term loan. This long-term mortgage, designed for social impact investors with HMO-style properties, offered a competitive rate of 2.7% per annum.
This case demonstrates our expertise in rapid problem-solving and our deep understanding of the specialist lending market. By acting swiftly and leveraging our extensive network, we not only saved our client from significant financial penalties but also secured a stable, long-term financing solution that aligned with their social impact goals.
