Lendhub recently completed a £580k bridging loan enabling their client to raise capital to refurbish a number of properties in their portfolio.
To complete the loan within the given timescales Lendhub had to overcome a few challenges. The property used for security was arranged as three self-contained flats, however the borrower’s solicitors were unable to provide formal planning consents for this existing layout. After referring back to the surveyor for a revised valuation to compensate for the potential enforcement costs, an indemnity policy was obtained and the new valuation was used to proceed with the loan.
The borrower’s application to register the property title was unfortunately delayed due to COVID, but rather than wait for the land registry to be processed, Lendhub made the decision to accept an undertaking from the borrower’s to register the ownership and move forward to completion.
The 12 month bridging loan was agreed on a 67% LTV at 0.70% per month, the borrower has a couple of exit strategy options including development finance upon achieving planning permission.
Max Herman, Lending Manager commented: We are really pleased to of been able to assist this borrower, we were able to demonstrate a high-level of service by working with all associates involved to find solutions to get the deal over the line.