High value but-to-let in prime London with unsuccessful marketing
required loan renegotiation, benefitting from lower rates
- £9.4m residential property, buy-to-let
- London property
- Equity portfolio
- From rental
- From trading equities
- £4.7 million refinance
- Historic voids
- Low yield
- Seeking to sell
- 5 year term
- Interest only
- Existing lender
A wealth management company were seeking to refinance an existing facility on a London residential property.
The challenges were that the property had been unsuccessfully marketed for the past 3 years, it had struggled to secure tenants, and that rental yield was low. The existing lender was concerned about the history and current LTV.
After negotiation, the facility remained with the existing lender. A new management and reporting plan was put in place and the security realigned to include an existing equity portfolio managed within the group, but to which no value had previously been placed.