Case Type – Commercial Investment
Understanding the client – Experienced property investors and developers based in Central London
Project – Commercial office development refinance in Central London
Challenge – Commercial development completed as ‘lockdown’ hit the U.K. As a result we needed to refinance asset away from costly development finance on to a longer term package. The building was untenanted at the time.
Strategy – Source a Coronavirus Business Interruption Loan which would ease the burden of an untenanted building. Provide a detailed plan of action of how the debt could be serviced after the initial interest free period.
Lender – Specialist Property Bank
Initial Gross Loan – £5,000,000
‘War chest’ lending facility – £1,500,000
Loan to Value: 50%
Rate: 6.45% (Initial 12 month’s interest and fees covered by Business Interruption Payment)
Term: 24 months
Lender arrangement Fee: 1%
‘We met Wharf Financial at Jtrade about three years ago. We’ve never looked back. We have done several million in various loans with Marc. Always been treated superbly – responsive comprehensive work throughout. When Covid landed our existing development loan came to term. The lender did not want to renew. Wharf stepped in and arranged a £5m CBILS loan and the rest as a regular loan. That truly gave us breathing room in difficult times. We can truly say that Marc has been a fabulous asset to our group of companies.’