United Trust Bank (UTB) was approached to provide a £35.5m bridge-to-investment facility secured against a newly completed £51.1m mixed-use build-to-rent (BTR) and commercial development in South-West London.
The opportunity was introduced by Property Finance Services founder Stan Lersch on behalf of experienced developer clients who have successfully delivered more than 2,000 homes. As the scheme approached practical completion, the borrowers sought to refinance their existing development facility and release a modest amount of equity.
The development comprises 96 build-to-rent apartments and approximately 9,000 sq. ft. of commercial space. Located in a well-connected and popular suburb, it generated strong early letting demand, with nearly half of the apartments having tenancies agreed within seven weeks of being marketed.
Impressed by both the quality of the asset and the borrowers’ proven track record, UTB was pleased to support the substantial facility for a new-to-Bank customer. The Structured Property Finance team tailored the loan to meet the client’s requirements, including a margin reduction once rental income had stabilised and an agreed interest cover ratio (ICR) had been achieved, a milestone expected within three to six months of completion.
| Borrower | Entrepreneurial Developer |
| Amount | £35.5m |
| Loan Type | Bridge-to-investment |
| LTV | 70% |
| Term | 5 year term |
| Location | South West London |
| Loan Purpose | Refinance of existing facility and equity release |
| Special Feature | New to Bank customer Introduced by Stan Lersch of Property Finance Services |