A property investor approached Lendhub to secure a bridging facility for the purchase of a four-storey commercial building in Leamington Spa. The asset is a wholly commercial, vacant office building.
The borrower’s strategy was to acquire the asset, apply for planning permission to convert to residential, and, subject to approval, refinance onto a refurbishment facility with Lendhub to carry out the works.
Key Challenges
1. Valuation alignment
The initial valuation excluded figures for the planned conversion, making it difficult to assess GDV and structure the exit onto our refurbishment facility.
2. Tight timeline
A one-month window between exchange and completion meant that all parties had to work efficiently to avoid delays.
Solutions
- We worked closely with the valuer and broker, maintaining consistent dialogue to align all parties on the valuation approach and forward-looking figures.
- All legal and credit matters were resolved immediately post-exchange, allowing for a seamless completion on the day.
The Outcome
The £357,500 facility was delivered at 65% LTV over a 6-month term, giving the borrower the time and flexibility to apply for planning and prepare for the next stage of their project, which we look forward to working with them on.
