Sirius Property Finance has completed a £12.4m limited company buy-to-let (BTL) mortgage to finance the development exit on a block of 68 flats.
The loan, which was arranged by Craig Hardiman-Scott and Luke Casey at Sirius, was secured on a scheme of 68 studio and 1-bedroom flats in Chelmsford, Essex.
From the outset, the client’s intention for the scheme was to hold the asset as a long-term investment, and, in July last year, Sirius started the refinance process ahead of practical completion of the project in October.
The process began with four different lenders but, with the fallout of the infamous mini-Budget in September impacting the market, the lenders contracted their appetite at Offer stage and the transactions failed to proceed.
Following this, Sirius re-structured the refinance to proceed with just one lender, and structured a deal with a loan agreed at 75% of the previously completed valuation report on a product that allowed the client to sell up to eight units at a reduced early repayment charge of 1% for the first 12 months.
In order to be able to access this loan, the client needed to sell four of the units ahead of completion of the refinance.
Craig Hardiman-Scott (pictured), head of sales at Sirius Property Finance, said: “This case is an excellent example of just what can be achieved when a debt advisor works in true partnership with their client.
“Because of this partnership, and thanks to the meaningful relationships we have with lenders, we were able to respond quickly to the shifting economic landscape and successfully structure a very large buy-to-let mortgage that enabled the client to achieve their objectives.”
