£16m Approved to Refinance and Boost Property Portfolio

Looking to refinance a substantial portfolio, a client came to us seeking a total £16m in funding. Here is how we secured the much-needed finance.

Loan Size: £16m

Location: North West

Loan Type: Refinance and further purchases

Security Type: Residential portfolio (assisted living)

Term: 12 months

About the Deal

A client recently came to us looking to refinance the £16m debt they had accumulated across their existing properties. This would enable the release of further funds to significantly increase the client’s portfolio, from eighty properties to a potential 160.

While the client’s’ properties were spread throughout the UK, the majority were situated in the North West. All properties were leased to a social landlord and were specifically adapted for their use.

The Challenge

This was not a simple deal and from the outset, there were challenges to overcome. The main and most significant hurdle was that banks could not gain comfort with the underlying tenant and lease structure. So, we had to think carefully how to proceed.

The Results

Through meticulous preparation and by framing the project carefully, in a way that highlighted the long-term incoming rent, we were able to get banks on side. We provided full funding and the developers were able to strengthen their portfolio as they initially set out.