One of the aspects that makes working in the Bridging sector so interesting is its variety, whether of the story behind the loan or the borrower. In this case it was both.
United Trust Bank was approached to provide finance to assist a charitable foundation purchase a London flat. The intention was to let the flat out for a number of years before a minister of religion would move in on his retirement.
The charitable foundation’s legal status was that of a company limited by guarantee and so it was able to borrow in its own capacity. This makes it different to a trust, where the trustees are the actual borrowers.
The foundation was able to show the Bank that it would be able to repay the loan through donation income.
In this case, United Trust Bank was able to provide a three year facility in order to assist the charitable foundation in meeting its objectives.
LTV: 44%
Loan Amount: £202,800