The six storey property in Moorgate, London comprised of offices which are undergoing refurbishment and a ground floor restaurant.
The client was coming to the end of their existing debt agreement which covered several properties and needed to finance the shortfall, so wanted to use the Moorgate property for a £5m refinance.
The case was introduced by Callum Taylor, director at Watts Commercial, who knew the case that was already in progress would not meet the required timescales. Taylor approached Aspen to make use of its rapid desktop product.
The lender used its remote signing policy and law firm Fieldfisher’s office drop-off to allow the client to sign and provide security documents.
The £620,000 deal was completed on a flat rate of 0.89 per cent with no exit fees on an 18-month term.
Jack Coombs, director at Aspen Bridging, said: “This deal was enabled by our confidence in our professional partners and our asset team, who visited the property themselves.
“Aspen completed as required for the client with minimum hassle and thus avoiding substantial valuation costs.”
Taylor added: “Aspen’s practical approach on valuations and their commercially minded legal team at Fieldfisher were stand out here.”
Avamore allows adjustable leverage for £758k deal
Avamore Capital has funded £758,046 towards a light refurbishment in Maidenhead by providing the loan at an adjusted rate of 69 per cent loan to gross development value (LTGDV).
The borrower wanted to convert a five-bedroom house back to its original form of two three-bedroom properties.
Avamore originally agreed to offer the loan at 65 per cent LTGDV with a rate of 8.5 per cent per annum.
The site was later down valued, but as the lender was familiar with the developers who previously worked at Cala Homes, it decided to provide the loan at the new adjusted leverage.
Although the deal was structured as a light refurbishment which incorporates a build facility, the site was awaiting a Letter of Lawful Development to confirm it had permission to be reconfigured back into its original form.
The site is currently recognised by the council as one property.
While the loan would usually be taken out as a bridge then converted to a refurbishment loan once permissions have been granted, Avamore provided the loan as a refurbishment as it believed the works would be approved.
However, the deal has been structured to reflect a bridge loan in case the permissions are not granted. Avamore worked with brokerage Commercial Financial Specialists on the deal.
Saleem Akram, director of Commercial Financial Specialists, said: “I was impressed with the whole process from start to finish, it was quick and effortless. Avamore were communicative with the client and me.
“There were a couple of issues along the way but Avamore’s proactive attitude ensured that they dealt with and overcame them quickly.”
Adam Butler, relationship manager at Avamore, added: “It was great pleasure to work with Saleem and the borrower on this unique deal.
“It really highlighted our core strength of being customer focused and ensuring that we continue to be adaptive which, in turn, resulted in us getting a strong deal structured.”