Our short term bridging loans are for purchase, refinance, property improvement or to unlock working capital for business purposes.
This unique overdraft provides you with a flexible drawdown facility giving you instant liquidity and avoids heavy setting-up costs.
Individually structured loans for residential and commercial projects, with finance available for site purchase, construction and fees, refinance, equity release and to provide working capital. Loans are available up to 90% of the site cost.
Flexible first and second charge non-regulated loans available on terms from 3 to 5 years.
We have a commitment to innovation and with the ever changing financial landscape around us we have designed a range of unique Specialist Lending products that solve a range of property finance needs.
Commercial Term Loan Cardiff
In Cardiff, an experienced developer and investor required a Commercial Term Loan to convert a outdated office building into 11 apartments, each to be let on Assured Shorthold Tenancy (AST) agreements. The primary goal was to repay the first and second charge lenders who had initially financed the development. However, the valuation of the property did not meet the borrower’s expectations, leading to a potential shortfall in the required funding.
To resolve this issue, the developer provided an additional security property also let under an AST. This additional security enabled Alternative Bridging to increase the Loan-to-Value (LTV), thereby covering the shortfall. The interest-only term loan of £1,050,000 was structured to facilitate the completion of the apartment conversion and ensure the repayment to the existing lenders. This approach allowed the developer to continue with the project without facing financial constraints.
The successful arrangement of the interest-only term loan allowed the developer to repay the first and second charge lenders and proceed with the conversion of the office building into 11 apartments. By securing additional property as collateral, the borrower mitigated the valuation shortfall and obtained the necessary financing. The developer’s plan is to establish a steady income stream from the newly converted apartments and, within the agreed five-year term, refinance to repay the term loan. This case study demonstrates the importance of flexible financial solutions in overcoming unexpected valuation issues and ensuring the successful completion of property development projects.
We establish close, ongoing relationships with our commercial finance brokers. Our property finance specialists review each proposal individually.
We make swift decisions with regards to your commercial property finance queries to enable you to progress your commercial funding without delay. Do not hesitate to contacts us if you require any further commercial funding information from one of our dedicated team members.
Ready, Set, Funded Our interest-only Term Loan helps support small and growing businesses and is also ideal for asset management situations.
