Arc & Co. arranges £1.6m second charge bridging loan

By Bridging Loan Directory 23rd January 2024

Arc & Co. has arranged a £1.6m second charge bridging loan for a developer on a large single asset based in Wentworth.

This loan was required for a different investment purpose and the first charge lender – also Glenhawk – was able to advance the second facility given the relatively low combined LTV.

The value of the property, however, had increased from its original £19m to a GDV of £24.5m during the loan term, enabling Glenhawk to advance a second charge bridging loan.

The loan represented 51% of the GDV and was priced at 1.3% pcm for a term of eight months.

Andrew Robinson, CEO of Arc & Co. and lead broker on the case, commented:

“It’s notoriously difficult to place a second charge behind a bridging lender, never mind with the added complexity of this being a prime single asset.

Glenhawk took a commercial approach to this case, and we managed to match the term length of both loans so that they redeem together—streamlining the client’s overall debt package.”

Nick Hilton, Managing Director, Glenhawk said:

“Collaborating with Arc & Co. for nearly a decade, on multiple finance deals, is testament to their unrivalled expertise in the prime real estate market.

For this loan, we navigated a dual charge structure, optimising flexibility and precision for an evolving property project.

This strategic approach has resulted in a £6 million increase in the properties GDV and an imminent sale (subject to contract) for the client.”