Deal Round-Up February 2022

From first-time landlords to existing clients with sizeable portfolios, our commercial team serviced a variety of clients with a wide range of requirements throughout February. 

Heavy Refurbishment Loan | £450,725 

Four professional sportsmen approached Jamie Ringer, Sales Director of Cornerstone Commercial Finance, to support them in purchasing a former office building in Cardiff. Jamie introduced the clients to Haydn Thomas, our Chief Commercial Officer, to manage the case.

After establishing a Special Purpose Vehicle (SPV), our clients sought funding to convert the office into four residential apartments for future sale or letting. 

With planning permission yet to be obtained and no prior experience in the property sector amongst the clients, Haydn assisted the new business owners as they embarked on their first venture. 

Read the full case study >

Commercial Investment Mortgage | £500,000 

Our client returned to us to refinance an existing mortgage that was coming to the end of its fixed-rate period. At the same time, our client was looking to raise additional capital to expand their property portfolio. 

Using our expert knowledge of the market, we reviewed all options available to the client and secured funding to refinance the existing mortgage and an additional £275,000. 

The loan rate is fixed for five years to mirror the client’s risk appetite against possible rate fluctuations.

Bridging Loan | £250,000 

To repay an existing debt that had become overdue, our client required £250,000.

Following a review of the client’s portfolio, we identified a holiday let that had sufficient equity in addition to the first charge mortgage that was already in place. 

We secured a funder that could move forward with an LTV sufficient to provide the required level of funding. The funder also used an Automated Valuation Model (AVM) rather than a physical valuation, saving our client costs and time. 

While we liaised with the first charge holder to obtain consent, the funding was put into place for a 6-month term, and we sourced a mortgage to repay the borrowing.

Buy-To-Let Mortgage | £142,500 

We received a direct referral from an existing client to assist with the purchase of a buy-to-let property for a first-time property investor.

With an inheritance at hand to fund the deposit, we utilised our whole of market access to secure the funding required on a 75% LTV loan.

To alleviate the client’s concerns regarding rate changes on their first investment property, we sourced a 5-year fixed term rate. We also ensured the appropriate insurance was put into place.

Bridging Loan | £100,000 

To support the conversion of a property from commercial to residential, our client required funding to carry out refurbishments and customisations needed to satisfy building regulations. 

Our client was looking to obtain £100,000 to redeem the existing funder and generate additional cash for the upgrades needed. Through Cornerstone Commercial’s exclusive access to the Group’s very own lending arm in the form of a bridging fund, we secured the required funds. 

We also called on our connections within local authority and local contractors to ensure the works were carried out promptly to the required standard by a reputable contractor. As a result, the upgraded property was approved under building regulations and provided peace of mind to our client.