The Client
The client is the owner of a 7-bedroom, Grade-II listed detached house in Kensington and sought to secure a bridging loan on the property, which was unencumbered and used as a rental property.
The Situation
The client was looking to fund works on their property but had also recently found themselves in the midst of complex divorce proceedings which meant legal costs were quickly piling up.
In order to be able to fund both expenses, the client needed a lender who was capable of and willing to fund a bridging facility on their unencumbered property while navigating the high level of complexity present due to all the parties involved in the divorce proceedings.
The Solution
A £3,250,000 bridging facility was structured at 65% LTV at a competitive rate on an 18-month term. The property was also an inherited property. However, since the client was an experienced landlord, we were able to structure the loan as an unregulated loan.
£2,800,000 was released from day one, with the remaining balance to be paid at a later agreed date. This was a custom arrangement that matched the needs of the borrower who did not require the full amount from day one.
The Benefit
By working with West One, the client was able to navigate the complexity of the case with peace of mind as we were able to work in tandem with the client’s legal teams (family and conveyancing solicitors) to work out the details of the case, title, and funding required on a grade-listed property which had its own complexities.
The phased release of funds would allow the client to address their most pressing legal costs first and have access to more funds required for works later on. This structure also meant that the client didn’t have to pay interest on the portion of funding they did not need to utilise yet.
The Result
The loan enabled the client to cover the legal costs of their divorce proceedings which had grown substantially. Meanwhile the loan also would cover the works needed on the property while improving its rental value before an exit onto a BTL mortgage that would take the uplift in rental value into account.
Broker Testimonial
The broker working the case said, “There are none other like you guys who I would trust to fund a Prime Central London deal with the complexities that this deal had, this is the best day of my career!”
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