Hampshire Trust Bank has completed a £4m semi-commercial refinance for an experienced landlord in Whitechapel, east London.
The facility refinances two mixed-use buildings comprising ground-floor retail units with nine flats above each. The client, who had acquired the assets using bridging finance, improved both the planning position and rental profile before approaching HTB to refinance the bridge and release equity.
The funds will allow the landlord to clear existing debt and support further portfolio expansion.
The case was introduced by Vishal Verma of Key Capital. HTB provided a single 10-year, interest-only facility at 77% gross loan-to-value, combining the two properties under one structure. The transaction required the release of a debenture from another lender, which was resolved prior to completion.
Joseph Lethbridge, business development manager at HTB, and underwriter Kris Siva worked closely with Verma from the outset to agree a pragmatic structure.
Verma said: “Many lenders were not prepared to look past the original purchase price, but HTB recognised the genuine uplift and took a pragmatic view.
“Their collaborative approach not only refinanced the bridge but released capital for further investment, giving my client confidence to keep expanding.
“It shows the benefit of a specialist lender that understands how landlords operate in today’s market.”
Lethbridge (main picture) added: “This case had a number of moving parts, from recognising the uplifted value to resolving the additional security requirements, but by working directly with Vishal and with Kris as underwriter we were able to get the structure right quickly.
“It shows the benefit of HTB’s flexible approach to criteria, where we look at the client’s business model and apply our expertise to achieve the right outcome for both broker and borrower.”
Andrea Glasgow, sales director for specialist mortgages and bridging finance at HTB, said: “Brokers often bring us clients who have added value to assets but find that many lenders will not recognise it.
“This case shows how we can step in, work with brokers to reflect the true position and help clients move from bridging into long-term funding.
“That is where we make the difference, giving brokers confidence that HTB will back them on complex cases and support their clients’ future growth.”
HTB said demand remains strong for semi-commercial and complex refinancing solutions, with its specialist mortgages team continuing to focus on structured facilities for experienced landlords and investors.
