Two brokerage firms have combined to complete for an overseas client a major residential property bridging facility.
Funded exclusively by Omni Capital, the £8.7m first-charge facility is secured over a six month period on a residential detached property in London’s Holland Park district.
The loan-to-value is 74%.
Originally introduced by Bristol-based broker Fox Davidson – a relative newcomer to the mortgage and bridging scene having launched just six months ago – the deal was packaged for Omni Capital by Finance 4 Business, the Staffordshire-based brokerage.
The client – a British Virgin Islands-registered company whose director is resident in south-east Asia from where the documentation was signed – used part of the new funding to refinance an existing facility on favourable terms, and part to complete development work on the investment property prior to the planned exit.
Wesley Davidson, director of Fox Davidson, said: “This was a challenging case as the lending was to an offshore company held in trust. The loan required was at a higher than usual loan-to-value so, clearly, the need to involve a bridging lender comfortable with its structure was essential. The successful outcome is the result of five months’ hard work and a fitting end to our first six months of trading.”
Dave Fathers, head of sales at Finance 4 Business, added: “We were delighted to receive this enquiry. The parameters of the loan were certainly on the tight side but F4B started negotiations with Omni Capital and deal terms were structured soon after. This case has been very interesting and testing with over fourteen overseas companies in the chain and, at one point, five sets of solicitors working on the due diligence. It has taken a huge amount of team work from all parties to pull this deal together and finally allow completion. Working with Omni Capital and their solicitors, Simply Law, has been a pleasure.”
Colin Sanders, Omni Capital’s CEO, added: “Deals of this type can be daunting and are not to every lender’s taste. The higher-than-average LTV alone is enough to deter many funders. But by applying prudently our proven and tested risk-reward modelling, we were able to deliver a positive outcome.
“For this, I must also thank the teams at Finance 4 Business and Fox Davidson for their diligence, patience and professionalism.”
