Urgent Bridging Loan for Commercial Property Purchase in the North East

Deal Structure

• 63.5% Loan to Value (LTV) net
• Interest rate: 0.95% per month, paid monthly
• 2% arrangement fee
• 1% exit fee
• No additional broker fee
• 6-month term

Deal Summary

Our client agreed to purchase a substantial vacant office building in the North East, with plans to convert the property into residential units.

The client had already secured a development finance facility to support the acquisition. However, the lender was unable to complete within the deadline set by the selling agent.

At the point of instruction, the client had only 6 working days to complete the purchase. Failure to meet the deadline could have resulted in the loss of their deposit.

We were tasked with arranging an urgent bridging loan for a commercial property purchase within an extremely tight timeframe.

Speed was essential, so we identified lenders who could move quickly and work with the existing valuation report. This removed the need to wait for a new inspection and helped accelerate the process.

We immediately instructed solicitors and worked alongside the lender to review and approve the existing valuation. By maintaining close communication between all parties, we kept the application moving and avoided unnecessary delays.

We successfully secured a bridging loan at 63.5% LTV net, with an interest rate of 0.95% per month, a 2% arrangement fee and a 1% exit fee.

The purchase completed within the selling agent’s required timeframe, protecting the client’s deposit and allowing them to move forward with their plans to convert the office building into residential accommodation.

If you require an urgent bridging loan for a commercial property purchase, Positive Commercial Finance can help source fast, flexible funding solutions for time-sensitive acquisitions and complex property transactions.