75% LTV Delivered on Commercial-to-Resi Asset
A borrower needed a £465k commercial bridging loan to refinance their previous lender after they withdrew from the deal just before completion. The asset, a former office building located in Essex purchased for £550k, is due to be converted into residential flats with a projected GDV of £1.14m.
The borrower required a fast, flexible solution to avoid any unnecessary costs or delays.
The Challenge
1. Previous Lender Pulled Out
The sudden withdrawal of the initial lender left the borrower at risk of financial setbacks due to their current lender calling their loan in. They needed a replacement lender willing to move quickly.
2. Re-address of Existing Valuation Report
Carrying out a new valuation would incur further costs and delays for the borrower.
3. Providing 75% LTV on a Commercial Asset
Many lenders cap the LTV on commercial properties, particularly if they are vacant and not income-producing.
The Solution
- We successfully re-addressed the existing valuation report, avoiding the need for a new one and saving valuable time.
- We used the previous lender’s legal firm, streamlining the process and reducing legal delays.
- With multiple offers on the table from potential buyers and planning in place to convert to a fully residential scheme, we were happy to provide 75% LTV on this case
The Outcome
By re-addressing the valuation report and working with the existing legal firm, we ensured a streamlined process for our borrower, resulting in a £465k loan at 75% LTV on a 6-month term delivered in only 7 days.
This case highlights Lendhub’s ability to act quickly and structure flexible solutions, helping developers keep their projects on track even when unexpected challenges arise.
What Our Client Said
“Thanks so much for everything, Hattie has been incredible. None of us have ever experienced the level of service & commitment to help!! Being such an important deal for myself, the work that has gone into it is huge, thank you!”
