YBS Commercial Mortgages has launched a new product for investors in commercial and industrial properties.
The new product is designed to support economic growth and regeneration by offering competitive rates on loans for retail, office, industrial, warehousing, quality leisure facilities, and other commercial properties.
The 5-year fixed-rate deal is available on both capital-and-interest and interest-only basis and can be accessed for loans up to £3m.
The lender is offering loans of up to £3m at a rate of 6.99%, up to 75% loan-to-value (LTV) (capital and interest repayment), or 7.15% to 65% LTV (interest only).
Both product options have a 2% arrangement fee, of which 1% is paid to the broker as a procuration fee.
According to Tom Simpson, the managing director of YBS Commercial Mortgages, the addition of this new product is to enhance the lender’s support for property investors with good quality properties, who can potentially provide a shot in the arm for economic vibrancy across UK regions.
“We’re doing our bit to fill the substantial gap in commercial funding availability for small businesses,” he said. “Which is why we’re really pleased to add this product to our range.”
Simpson continued to explain that this new offering comes as a direct result of broker feedback. There is a recognition that, post-pandemic, there is a real opportunity to acquire commercial property at a good price, but that investors’ efforts are being hampered by low funding availability and extra-stringent criteria for what is available, as well as long delays in finalising funding, which are leading to opportunities being lost.
“Our personalised approach to underwriting, coupled with the substantial funding amounts we are able to offer for properties of the right quality, means we can offer a really exciting alternative, providing additional certainty for borrowers with this new fixed rate deal. And of course, our commitment remains to providing long-term stable support and award-winning personal service to all our borrowers,” said Simpson.
