• Property Type: Office, retail, industrial, warehouse, hotel and leisure and portfolios
• Loan to Value (LTV) : Typically 75-80% where the property is let to tenant(s) with proven financial track record. We will consider lending at higher LTV's if the overall proposal supports it
• Term and repayment Typically 3-5 years. We consider 1-10 years depending on the business case. Amortisation from cash flow is normally required but we will consider interest only periods where appropriate
• Interest rates: Variable rates linked to LIBOR. Fixed rates and flexible hedging instruments available
• Fees: Arrangement fee is negotiable. Bank's legal and valuation costs are payable by the borrower
• Borrowing vehicles: Flexibility in respect of the borrowing vehicle structure
• Security: First legal charge over freehold and leasehold properties, assignment of rental income, floating charge security, guarantees and life cover where appropriate.

CASE STUDY

• A medium term loan representing a LTV of 80% was arranged to fund the purchase of a regional shopping centre. The facility enabled the borrower to actively manage the centre over a 5-year period, establishing a higher provable rent and selling via private treaty. The loan was part hedged and allowed for an element of interest only at the beginning of the term.

Portfolio

• A combination of senior debt and mezzanine up to a total LTV of 90% was arranged for a mixed-use portfolio of freehold and long leasehold properties throughout the UK. The facility was flexible allowing the borrower to trade out a number of properties early on, actively managing the remainder of the properties to improve the rental income stream and sell by way of auction or private treaty. The facility was hedged by way of an interest rate cap.

Office

• Medium term loan representing a LTV of 75% was arranged on a multi-let office building in a major UK city. The building contained an element of vacant space and short-term leases and a loan was provided to enable the borrower to refurbish the various floors as space became available. Once fully let and income producing the property was sold by way of private treaty.